At the point of transaction, there are a myriad of factors to consider that inform the confidence in any deal. Financial due diligence covers a comprehensive review of financial statements, quality of earnings analysis, working capital assessments, and other critical financial aspects. While, legal due diligence typically includes a review of contracts, intellectual property, regulatory…
Proactive portfolio management is the name of the game. Ultimately, right now despite your investment a PE firm sits behind a gatekeeper. For example, a quarterly board report is produced and one see’s the business performance, financials and a nod to the employee situation. As noted elsewhere, while you’ve invested in the promise and the…
In the high-stakes world of mergers and acquisitions (M&A), due diligence is a cornerstone of success. Private equity firms and deal advisors meticulously analyze financials, legal frameworks, and market conditions to mitigate risk and ensure favorable outcomes. However, one critical area often overlooked in this process is human capital due diligence. Understanding the workforce of…
Key Areas to Assess in Human Capital Due Diligence Mergers and acquisitions are complex, multifaceted transactions where risk management is paramount. While financial and legal due diligence are standard, incorporating human capital due diligence into the process can be a game-changer. By thoroughly evaluating the workforce, deal advisors and private equity firms can mitigate risks,…
In the realm of mergers and acquisitions, the importance of human capital due diligence is often underestimated—until it’s too late. While financial and legal aspects typically dominate due diligence efforts, overlooking the human element can lead to disastrous outcomes. Here, we explore real-world examples where human capital played a pivotal role in the success or…
In every organisation there are star employees and those who are actively disengaged. Either at initial transaction phase but certainly post investment, retaining star performers is likely (or at least in most circumstances) a priority. Dear Boss, I Quit… Post investment, in particular were M&A occurs there will be a period of transition and integration….
