Blog – October 2018

Are You ReaDDy?

We often open our quarterly seminar with the words – “Buyers are cautious, buyers are suspicious – and they need EVIDENCE”. I am reminded daily just how true these words are. Going through a Due Diligence (“DD”) process with a Private Equity firm raises the bar just a bit higher. You may be confident about the future performance of the business, but can you really prove it to a third party? If, for example, you are predicting higher gross margins you really need to be able to explain how these can be believed. If the logic breaks down under light to moderate questioning, that just won’t do.

The information requirements during a sale will typically far exceed your own when running the business. You need to start preparing early by taking a hard look at your existing management information and ask: is it sufficiently robust to satisfy someone without a lifetime in this business?

We run confidential 1-2-1 meetings in London on the first Thursday of each month. If you want to start the process of getting reaDDy give us a call (with no obligations). The next one is on 1st November and there are just one or two slots available.