In an environment in which competition for the right deal is strengthening, an acquirer needs to be certain that they can generate incremental value over and above the premium paid.
Due diligence gives acquirers comfort that they are paying the right price for the right asset, and involves a bespoke investigation of the target’s financial and operational performance and (importantly) future potential under new ownership.
Opportunities for improvements post deal are crucial, and whilst downside risks are the traditional focus of diligence, successful acquirers should also investigate (and estimate as part of their business case) any upside potential.
At Ballards LLP, we understand that financial due diligence is key, but also that operational due diligence is now an integral part of the value story.
Value to you
The purpose of due diligence is to drive post acquisition value for our clients. More specifically this means:
We can help you……
Identify and validate value creation opportunities, and identify risks early.
Value creation focuses on increasing revenue in a sustainable way without sacrificing margin, whilst at the same time optimising the operating cost base.
In an uncertain political and economic environment, it is increasingly important for companies to find effective ways to enhance their top line growth. Traditional blockers and challenges businesses typically encounter are:
We provide a full diagnosis of the business and examine a number of different growth opportunities. We then deliver a full implementation process, ensuring minimum disruption. We then work with you to identify new strategic opportunities that the changes may enable.
Identifying growth opportunities is approached in a structured manner:
Doing things differently
It is essential to drive value in your business by operating efficiently and effectively. Our approach is to examine the costs of the business with an eye to reduce wherever possible, whilst increasing performance. This may be achieved via cost saving and capital release initiatives which will in turn fund growth and operational change. We will also concentrate on minimising any risk and disruption to the business.
Some of the areas we look to address are:
Our team can develop a Key Performance Indicator reporting system to help you grow your business whilst remaining in control of the costs.
Evaluate current reporting and KPIs
Update KPIs and performance tracking
The use of divestitures to create shareholder value is increasing. Divestitures can raise capital to be invested in new opportunities, whilst preventing value leakage of underperforming businesses. Divestment happens when other companies value a business more than the owner does.
Divestment can come in various forms, including:
To maximise speed and value, each form of divestiture should be approached in a different way.
What divestiture advice do we offer?
Is this relevant to my business?
This service is relevant to companies wanting to:
When might my business look at this?
The following could cause your business to look into our divestiture advice service:
Ballards LLP really understands the farming business, they speak my language and they know what's going on in the sector. Their advice on diversifying has been great for me. With Ballards LLP, I don't have to worry about the everyday financial compliance and I can concentrate on, with their assistance, growing the farm and pushing forward with my plans.
Having worked with many accountants, Ballards LLP are very good, I get a personal service, and honest advice with no jargon. I particularly appreciate their pre-planning meetings which minimises the GP's time, their support is invaluable and I have on many occasions recommended them.
Ballards LLP have really looked after our business, it was with their help that we acquired the funding to develop our business, and with their ongoing support we keep track of the business financially so we know where we're going.
We have had a very long association with Ballards LLP who have provided our accounting services to us for over 15 years. It has been very reassuring to have such a professional organisation advising with our accounting and development requirements. I really can't recommend Ballards LLP highly enough.
BDSW Financial Services Ltd is an appointed representative of David Booler & Co which is authorised and regulated by the Financial Conduct Authority