| OPERATIONAL DUE DILIGENCE |
Due Diligence is like a coin. One side (heads) represents all the financials in a lengthy review of
the business with all kinds of statistical data and history and projected forecasts. The ”heads”
side of the coin is the financial side of the business. The financial analysis that we have seen in
most all cases are extremely well done.
The other side of the coin (tails) includes all the key items being executed that result in the
financial figures. The “tail” side of the coin represents the operational side of the business.
Using WCC’s unique operational due diligence, you will know more about the “real status” of their
management operation than they do, which will not only be a powerful tool in negotiation, but
also an insurance policy to avoid any “surprises.”
On the operational side of the business, we have assisted clients that have made acquisitions or
investments and were shocked that they didn’t discover what we found. We discovered problems,
wasted inventory dollars, poor or obsolete processes, poor quality control, poor floor
management, software discrepancies, capital equipment in extremely poor shape. In general, we
found a lack of adequate fundamentals which resulted in a larger investment to correct.
The point is, if they had engaged us up front to make this operational due diligence, we could
have given them key statistics, digital pictures, and an in-depth professional study that could
have been used in the negotiations which may have actually reduced the cost they would have
paid for it. They could have made an excellent purchase by recognizing the actual risk in making
the acquisition and made plans to hit the ground running even faster with a game plan in hand
(before the acquisitions was finalized) to turn the business around more quickly.
Let us complement your financial due diligence up front with our unique operational review and
truly make your acquisition a success.
If you are a senior executive, you are qualified to receive a free copy of our Operational Due
Diligence “101 items”. Or, call us at (865) 681-3844 and we can arrange a time that is
convenient to meet with you at your facility or office and go into much more detail. Don’t miss this
opportunity; don’t take the risk!
the business with all kinds of statistical data and history and projected forecasts. The ”heads”
side of the coin is the financial side of the business. The financial analysis that we have seen in
most all cases are extremely well done.
The other side of the coin (tails) includes all the key items being executed that result in the
financial figures. The “tail” side of the coin represents the operational side of the business.
Using WCC’s unique operational due diligence, you will know more about the “real status” of their
management operation than they do, which will not only be a powerful tool in negotiation, but
also an insurance policy to avoid any “surprises.”
On the operational side of the business, we have assisted clients that have made acquisitions or
investments and were shocked that they didn’t discover what we found. We discovered problems,
wasted inventory dollars, poor or obsolete processes, poor quality control, poor floor
management, software discrepancies, capital equipment in extremely poor shape. In general, we
found a lack of adequate fundamentals which resulted in a larger investment to correct.
The point is, if they had engaged us up front to make this operational due diligence, we could
have given them key statistics, digital pictures, and an in-depth professional study that could
have been used in the negotiations which may have actually reduced the cost they would have
paid for it. They could have made an excellent purchase by recognizing the actual risk in making
the acquisition and made plans to hit the ground running even faster with a game plan in hand
(before the acquisitions was finalized) to turn the business around more quickly.
Let us complement your financial due diligence up front with our unique operational review and
truly make your acquisition a success.
If you are a senior executive, you are qualified to receive a free copy of our Operational Due
Diligence “101 items”. Or, call us at (865) 681-3844 and we can arrange a time that is
convenient to meet with you at your facility or office and go into much more detail. Don’t miss this
opportunity; don’t take the risk!
