Covers the most important business aspects of target company such as:
- Verifying shareholding pattern, changes and identifying conflicts if any among shareholders
- Promoters backgrounds / skillsets verification, history with company and conflicts if any
- Analysis of the board of Directors with a view to establish sufficient competencies or need to reduce / add executive / non executive directors
- Assess need for replacement of CEO / CFO level management
Customer wise break up of revenues and margins to assess dependencies on key customers. Delve into customer billings to establish trend of pricing.
Review of industry trend to observe any issues thereof Strength and size of customer base
- Talking to customers to analyse strengths and weaknesses of targets management
- Overall assessment of assets / infrastructure to identify excess / deficiencies wrt to business
- Look at the purchase arrangements and systems within to establish efficiencies of purchase of key RMs, software's or manpower and to spot any leakages
- Look at the sales arrangements / partner channels / distributors to establish reasonableness of the margins shared and to spot leakages if any.
- look at any sister company transactions, transactions with shareholders, management to establish arms length pricing