Service 01 — M&A Financial Analysis
Financial due diligence that looks past reported figures — identifying what the numbers actually reflect, where risks sit, and what your advisors need to move forward with confidence.
What this delivers
When an acquisition is on the table, the financials a target presents are a starting point — not a conclusion. Quality of earnings analysis, working capital normalization, and careful review of the books reveal what's actually there and what isn't.
By the time our engagement closes, you'll have a structured written report covering the financial findings — one your legal counsel, lenders, and transaction advisors can read and act on. The ambiguity that often surrounds pre-close financials gets replaced with documented analysis you can reference through negotiation and closing.
Documented findings
A written report structured for sharing with advisors — not a collection of working files or spreadsheets.
Risk identification
Anomalies and financial risks surfaced before they become post-close surprises that affect integration or performance.
Both-side applicable
Whether you're acquiring or preparing to be acquired, the same analytical rigor applies and the same structured report follows.
The challenge
Most businesses entering a transaction rely on the financial statements the target presents. Those statements may be accurate in a technical sense and still be misleading — because they reflect accounting choices, one-time items, non-recurring revenue, or working capital patterns that won't hold after close.
The gap between what appears on a balance sheet and what you're actually taking on is where most acquisition regrets originate. It's not that the numbers were wrong on the surface — it's that the underlying picture wasn't fully examined before signing.
Owner compensation, related-party transactions, and non-recurring items can inflate reported earnings in ways that only show up through normalization.
Working capital figures can be managed in the months before a sale. Normalization shows what a sustainable level actually looks like.
Contingent liabilities, deferred obligations, and off-balance-sheet items require careful examination to surface what might otherwise close quietly.
Customer concentration, contract terms, and one-time revenue sources affect whether reported top-line figures will hold post-acquisition.
The approach
Our M&A Financial Analysis engagement covers the financial side of due diligence — not the legal, operational, or commercial dimensions, but the accounting picture that sits underneath them. We work through the target company's financials with the specific goal of producing findings that hold up under scrutiny.
The engagement covers quality of earnings analysis, working capital normalization, and a review for financial anomalies or patterns that warrant flagging. Findings are consolidated into a written report structured for sharing with legal counsel, lenders, and advisors — formatted so your transaction team can actually use it.
Quality of earnings review — adjusted EBITDA analysis, normalization of non-recurring items, and examination of revenue sustainability
Working capital normalization — historical working capital analysis to establish what a target level looks like and what it implies for the purchase price
Financial anomaly identification — flagging patterns, related-party transactions, and items that merit attention from legal or deal advisors
Structured written report — a formatted deliverable summarizing findings, methodology, and key items — ready for your advisors to read
Working together
The engagement is structured to fit around your transaction timeline. We work through the financial materials methodically, and we're available to discuss findings as they develop — not just when the report lands.
01
We understand where you are in the deal, what financial materials are available, and define the engagement scope and timeline together.
02
We work through target financials — statements, schedules, and supporting materials — applying quality of earnings and working capital analysis.
03
We walk through preliminary findings with you before the report is finalized — allowing questions and clarifications while the engagement is still open.
04
A structured written report covering methodology, normalized figures, and flagged items — formatted for sharing with your advisory team.
Investment
This engagement is priced at a flat fee, so you know the cost before work begins. No hourly billing that compounds as the deal extends, and no invoices that arrive after the fact.
M&A Financial Analysis
$5,500 USD
Fixed fee — billed at engagement start
Typical turnaround
30–45 business days
What's included
Quality of earnings analysis
Working capital normalization
Financial anomaly identification
Target company financial review
Structured written findings report
Advisor-ready format and presentation
Findings walkthrough call
Applicable to buyer or seller side
Methodology
Our approach draws on established financial due diligence frameworks applied consistently across engagements. The methodology is documented in the report itself — every adjustment, normalization, and assumption is explained, not just stated.
QoE framework
We follow a structured quality of earnings process — separating recurring from non-recurring, examining revenue patterns, and normalizing for owner-specific items.
Working capital methodology
Historical working capital is analyzed across periods to identify seasonal patterns and establish what a normalized target looks like for the purchase agreement.
Documented assumptions
Every adjustment and normalization is documented with rationale — so the report is defensible and reviewable, not just a set of conclusions.
Realistic timelines
Engagements typically close in 30–45 business days from financial material receipt, depending on data availability and complexity.
Our commitment
We understand that the report we deliver will be read by parties who didn't commission it — lenders, legal counsel, opposing advisors. That shapes how we work from the first document review to the final deliverable.
If the scope of your situation differs from what an M&A Financial Analysis engagement covers, we'll say so before work begins. An initial conversation costs nothing — and it's often the most useful part of the process.
The engagement scope and price are agreed before work begins. Changes are discussed openly, not invoiced after the fact.
Reports are formatted to be shared with your transaction team — not internal working documents dressed up with a cover page.
If your situation calls for something outside this engagement's scope, we'll tell you in the first conversation — before any commitment.
Getting started
If you're in a transaction — or one is approaching — reaching out early gives us room to discuss whether this engagement fits what you need before your timeline tightens.
Reach out through the contact form
A few sentences about your situation is enough to start — where you are in the transaction, what side you're on, and roughly when you need the analysis complete.
An initial conversation
We discuss the situation, the scope that fits, and whether the timeline is workable. No obligation at this stage — just a direct conversation.
Engagement scope confirmed
We agree on deliverables, timeline, and the flat fee — then request the financial materials we need to begin the review.
Work begins, report follows
We review the financials, work through the analysis, and deliver a structured report your advisory team can use — within the agreed timeline.
M&A Financial Analysis
Reach out through the form on the main page and describe your situation. An initial conversation is the right first step — there's no cost and no obligation to it, and it helps both sides confirm the fit before anything begins.
Get in touchOther services
Some clients engage us for one service; others work through multiple as a transaction progresses. Both approaches are common.
Service 02
Estimated valuations using DCF, comparable company analysis, and asset-based approaches. Written report includes valuation range, methodology, and key assumptions. Suitable for sale consideration, buy-ins, or estate planning.
$3,000 USD
Learn more →Service 03
Accounting support during the months following close — chart of accounts harmonization, opening balance sheet, intercompany eliminations, and reporting period alignment for the combined entity.
$2,200 USD/month
Learn more →