Financial Due Diligence

The professionals at CypressHill Consulting understand that, in today's compliance and deal-making environments, what you don't know can have great consequences. That's why we have assembled a team of trusted financial advisors who are expert at helping clients identify opportunities to mitigate risk, improve organizational effectiveness and generate a healthy return on investment through careful, tested due diligence processes. We are inquisitive and employ a focused methodology to rapidly assess and address a range of financial, operational and strategic issues, with the goal of delivering timely intelligence that enables sound decision-making.

We work alongside clients to identify opportunities and surface potential issues for those contemplating transactions or undergoing transformative change. Our thorough investigations into acquisition candidates have proven to enhance transactions and reduce costly missteps that often arise as result of incomplete or flawed information.

CypressHill Consulting provides financial due diligence and transaction support services to buyers, lenders and sellers in a variety of transactional situations. We assist strategic and financial buyers focused on historic and projected financial performance, developing a more complete picture of the financial realities of a target business by reviewing the quality of earnings, conducting integration assessments and assessing the purchase price model.

Some of the more common financial due diligence steps are related to:

  • -Assessing financial trends.
  • -Understanding EBITDA and unusual or nonrecurring transactions.
  • -Assessing accounting policies and procedures.
  • -Assessing financial reporting and information systems.
  • -Evaluating key assets and related reserves or allowances.
  • -Identifying unrecorded liabilities.
  • -Evaluating working capital trends.
  • -Evaluating loan covenant compliance.
  • -Evaluating key assumptions and drivers to projections.
  • -Understanding Capex requirements.
  • -Assessing federal, state and local taxes.