What are you going to do with your business? Are you looking to acquire a new business but don’t know the risks or steps involved? Are you not sure how to transition a closely-held company? No matter what stage your business is in, the ability to manage transactions is always a pressing issue. BPM’s Transaction Advisory Services team is dedicated to assisting in the changes which occur in all phases of the business lifecycle.
Whether you’re involved in a buy-side agreement, a sell-side negotiation, or a wind-down proceeding, there are a number of factors that can either make or break a business deal. Any transaction, from merger to carve-out, or acquisition to bankruptcy, the path to closing a deal can be riddled with hidden pitfalls and stumbling blocks that are often unknown to the parties involved. The best way to steer clear of obstacles is by engaging with a knowledgeable partner that can help you navigate through the transaction.
We help deepen clients' understanding of the investment opportunity by focusing on issues such as integrity of reported EBITDA and cash flow, key trends in revenue and profitability, limits and feasibility of future cash flow, working capital positions, accounting procedures and controls and tax exposure.
Our knowledgeable team of professionals will analyze target company data to identify historical and projected financial and operating trends, working capital considerations and the quality of earnings. We do this because BPM understands that due diligence reduces the risks of any transaction by providing technical, financial and operational analysis to support strategic decisions. Toward this end, we review the quality of record keeping and accounting systems. We also assess the appropriateness of accounting policies and procedures, internal controls and potential liabilities that can impact valuation and negotiations. We have the experience and training to assess the financial position and financial performance in order to uncover opportunities and reduce surprises. BPM can help you determine stable cash flows and project future results – all within the context of understanding and protecting your investment.
Quality of Earnings
Clients often ask for Quality of Earnings reports. These are the tools which bankers, investors and other financial stakeholders use to support the purchase price, financing terms or asset allocations in transactions. The key to any Quality of Earnings report is the thoroughness of underlying due diligence. That, combined with operational experience and technical savvy permits the development of a Quality of Earnings report that smooths out the anomalies in a company’s performance and allows for an understanding of expected, predictable future cash flows.
We provide innovative advice to help you reach your strategic goals and personalized support throughout your business transaction. Since the goals and situation of each client are unique, we tailor our approach to best accomplish these goals. We provide operational and financial strategies to improve liquidity, assist in evaluating capital options and help obtain credit. You can count on BPM to provide invaluable technical and personalized counsel until your transaction is completed.