We have helped our customers with our IT Due Diligence service on more than 75+ target acquisitions now. Whilst some reports have shown the target acquisition to be problematic and has resulted in the transaction not occurring, part of our approach is to look at any identified problems and work with our customers to build a mitigating transition plan. However, some are straight forward and have no tangible impact on the transaction, you just never know!
As a starting point, we look at the systems, licensing, infrastructure and telecoms. The scope inevitably then becomes broader and looks at how the target company uses their systems, both operationally and from a user perspective.
By working closely with our customers, we know where the key areas of concern are and the areas that need deeper reviews than others. By getting into the first layer of detail, more accurate budgets and plans can be created prior to the transaction actually occurring therefore allowing for swifter progress to be made in both the first 100 days and then the ongoing integration.
As well as performing due diligence on target acquisitions, we have also worked with our customers on internal due diligence reviews in readiness for an external review as part of their sale process. Being prepared across all the operational disciplines of your operation is a vital part of a sale process but depending on the sector, technology can be a significant factor. Being ahead of the game with both your current technology and also your future strategy could increase both the projected EBITDA and the sale multiple.