Purchase Due Diligence

 We have over 25 years' experience in conducting business valuation assignments for businesses operating in various industries including: manufacturing, retail, real estate, professional offices (dental, doctor, legal, etc), construction, insurance, food service, restaurants and wholesale. We provide expert reports and consultations for various purposes including purchase due diligence, preparation for sale of business, tax reorganization/estate planning, shareholder and divorce transactions/disputes.  Purchase Due Diligence Surrey. 

The process of buying a businss is a big decision but there are certain things you can do to make the process goes smoothly and result in a purchase that is the right fit for you.

Here are a few steps to follow:

1. Research the market place for businesses that are for sale in the area of your interest and budget to become familiar with what is available and at what price. 
2. If you target a particular business, try to understand why the existing business is up for sale. Before moving down the due diligence path, try to understand about the existing business's success, failures, challenges and future opportunities. 
3. Be prepared to sign a confidentiality/non-disclosure agreement with the seller.
4. Request the organization paperwork to ensure that the company is in good standing with business licenses and permits. Seek the assistance of a lawyer to review them with you.  
5. Request the business financials. Engage an accountant to help you understand them.
6. Obtain contracts and leases to determine if they are transferrable.
7. Obtain a list of the business assets and their respective age and values.
8. Obtain a business valuation opinion to determine a starting point for price negotation.  

When making the decision to buy a business it is prudent to have a business valuation done to provide some comfort. We have experience working with brokers and purchasers.
Sample files:

1. An investor requires assistance in reviewing the information provided by a broker regarding the potential purchase of a health food store.
2. An investor requires assistance in reviewing the value of inventory which is a key component of the purchase of an art production factory.