Mergers & Aquisitions

ABP Solutions’ Due Diligence and Risk Assessment can help companies identify and mitigate risks before, during, and after an M&A transaction. This can save companies time, money, and headaches, and help ensure that the transaction is a success.

ABP Solutions’ Due Diligence and Risk Assessment:
• Identify potential risks, such as financial, legal, and operational risks.
• Assess the likelihood and impact of these risks.
• Develop mitigation strategies to reduce the likelihood and impact of risks.
• Monitor risks throughout the M&A process to ensure that they are being managed effectively.
• Financial Due Diligence
• Review the target company’s financial statements for the past three years.
• Analyze the target company’s revenue, expenses, and profitability.
• Assess the target company’s debt load and credit rating.
• Review the target company’s cash flow statement to understand its liquidity position.
• Conduct an analysis of the target company’s asset base.
• Review the target company’s insurance coverage.
• Review the target company’s tax returns for the past three years.
• Legal Due Diligence
• Review the target company’s corporate documents, including its articles of incorporation, bylaws, and shareholder agreements.
• Review the target company’s contracts with suppliers, customers, and employees.
• Review the target company’s intellectual property portfolio.
• Review the target company’s environmental and regulatory compliance.
• Review the target company’s litigation history.
• Operational Due Diligence
• Review the target company’s business model and strategy.
• Review the target company’s operations, including its production, marketing, and sales.
• Review the target company’s management team and employees.
• Review the target company’s culture and values.
• Review the target company’s facilities and equipment.
• Review the target company’s information technology systems.
• Risk Assessment
• Identify the potential risks associated with the merger or acquisition.
• Assess the likelihood and impact of each risk.
• Develop mitigation strategies to reduce the likelihood and impact of risks.
• Monitor risks throughout the merger or acquisition process to ensure that they are being managed effectively.

This a general checklist, and the specific due diligence and risk assessment activities that your company will need to perform will vary depending on the specific circumstances of the merger or acquisition. It is important to work with experienced professionals who can help you to identify and mitigate risks and to complete the due diligence process thoroughly. If you are considering an M&A transaction, I encourage you to contact ABP Solutions to learn more about how we can help.