Financial Due Diligence Services: Mergers and Acquisitions Audit, Process & Solutions

Deeper Insight. Smarter Transactions.

Financial due diligence is the process of independently verifying the financial health, historical performance, and underlying risks of a target business before a merger, acquisition, or investment is finalised. It goes beyond reviewing audited financial statements to examine quality of earnings, working capital trends, contingent liabilities, and the assumptions behind future projections. This matters to any acquirer, investor, or lender that needs to know exactly what it is buying into before committing capital.

Why This Matters

Deals that proceed without rigorous due diligence run the risk of inheriting hidden liabilities, overstated earnings, or operational issues that surface only after the transaction closes, by which point remedies are limited and costly. A thorough review protects the buyer's negotiating position, informs valuation, and can even determine whether a deal should proceed at all. For sellers, being prepared for diligence also speeds up the process and builds credibility with prospective buyers.

How We Help

Quality of Earnings Review

We analyse the target's historical revenue and profitability to separate sustainable, recurring earnings from one-off or non-operating items, giving buyers a realistic basis for valuation.

Working Capital and Cash Flow Analysis

Our team examines working capital trends and cash conversion cycles to flag funding gaps, seasonal swings, or liquidity risks that could affect post-acquisition operations.

Liabilities and Risk Assessment

We identify contingent liabilities, off-balance-sheet exposures, litigation risks, and tax positions that could materially affect the transaction value or require specific protections in the deal documentation.

Reporting and Deal Support

We deliver clear, decision-ready reports that summarise findings, quantify risks, and support negotiation on price, warranties, and indemnities, so clients can move forward with confidence.

Who Needs This

• Strategic acquirers evaluating a target company
• Private equity and institutional investors assessing potential investments
• Lenders conducting financial checks before extending credit
• Sellers preparing a business for sale or investment

Our Approach

We tailor the scope and depth of every due diligence exercise to the size and complexity of the transaction, focusing effort on the areas of greatest financial and commercial risk. Our reporting is designed to be practical and negotiation-ready, giving clients the clarity they need to make informed, timely decisions rather than generic commentary.

Get in Touch

To discuss how we can support you with financial due diligence services, write to us at info@agarwalurs.com.