Prepare your business for investor or buyer due diligence. Increase valuation by 10-20% with exit-ready financials, organized documentation, and quality of earnings preparation. $1,500/month for businesses at $5M-$20M.
Investor due diligence is the process where potential buyers or investors thoroughly review your business financials, operations, legal structure, and commercial viability before investing or acquiring. Financial due diligence typically takes 30-90 days and focuses on validating your numbers, identifying risks, and confirming valuation assumptions.
When buyers knock on your door—or when you’re actively seeking exit or investment—they’ll conduct rigorous due diligence. They’re looking for three things:
Businesses with clean, organized, investor-ready financials command higher valuations and close faster. Businesses with messy financials get penalized 10-20% in valuation—or the deal falls apart entirely.
For a $15M business at 5x EBITDA multiple, clean investor-ready financials typically add $1.5M-$3M to your purchase price. Buyers pay premium prices for certainty—and messy books create uncertainty.
Comprehensive due diligence preparation for businesses at $5M-$20M actively preparing for exit, acquisition, or investment.
When to start: Begin 6-12 months before you plan to sell or seek investment. Most businesses need 6+ months to clean up historical financials, organize documentation, and prepare for buyer scrutiny. Starting late = rushed preparation = missed valuation upside.
If you elect, we can act as your broker at time of sale. Since we have deep knowledge of your business and financials, we can facilitate the transaction. This service is completely optional and separate from the IDD Program. Discussed during consultation.
IDD Program is designed for businesses at specific inflection points where investor or buyer due diligence is imminent or on the horizon:
You’re actively preparing to sell your business in the next 12-36 months. Buyers at this level conduct extensive financial due diligence. Clean books directly impact your purchase price.
You’re raising growth capital, seeking private equity investment, or considering strategic partnerships. Investors require comprehensive financial due diligence before committing capital.
You’re at the stage where acquisition offers start appearing. Even if exit isn’t planned, being perpetually ready means you can evaluate opportunities when they arise.
Multi-property portfolios require thorough financial documentation for buyer due diligence. Clean property-level financials, consolidated reporting, and tenant documentation are critical.
You’re already in talks with potential buyers or have received a Letter of Intent (LOI). You need immediate preparation for the 30-90 day due diligence period.
Internal transitions require the same financial rigor as external sales. Family members or partners buying you out will conduct due diligence to establish fair value.
Buyers and investors scrutinize your financials for accuracy, sustainability, and risk. Here’s what they examine and what we help you prepare:
Buyers want to see historical performance trends. We organize:
Most sophisticated buyers require a Quality of Earnings analysis. This validates your EBITDA by identifying:
We prepare you for QofE by organizing documentation, identifying legitimate add-backs, and creating normalized earnings analysis that buyers will accept.
Buyers examine revenue sustainability and risk:
Most of these deal killers are preventable with 6-12 months of preparation. That’s why we recommend starting IDD Program well before you need it.
We review 3-5 years of financials, identify issues, and create a cleanup plan. This includes reconciliation review, revenue recognition analysis, and documentation gaps.
We clean up past financials: reconcile accounts, fix categorization errors, separate personal/business expenses, and ensure consistency across years. Timeline: 2-4 months.
We organize all supporting documentation: contracts, invoices, tax returns, bank statements, legal docs. Everything buyers will request goes into an organized data room.
We prepare normalized EBITDA analysis, identify legitimate add-backs, document adjustments, and create supporting materials for QofE review.
We create a virtual data room with all financial documentation, organized by category for easy buyer access. This accelerates due diligence.
During due diligence, buyers send questions. We help you respond accurately and completely, providing supporting documentation and clarifications as needed.
Buyers will request all of this. Are you ready to produce it within 48 hours?
Can’t produce these immediately? You’re not ready for due diligence. We help you organize everything so you can respond to buyer requests within 24-48 hours—not weeks.
Investor due diligence is the process where potential buyers or investors thoroughly review your business financials, operations, and legal structure before investing or acquiring. Financial due diligence typically takes 30-90 days and focuses on validating your numbers, identifying risks, and confirming valuation assumptions.
Our IDD Program is $500/month. We recommend starting 6-12 months before you plan to sell or raise capital. This gives us time to clean up historical financials, organize documentation, and prepare investor-ready materials. The investment is small compared to valuation impact—typically adding $1M-$3M to exit value.
Start 6-12 months before you plan to sell or seek investment. If you’re at $7M+ revenue and thinking about exit in the next 2-3 years, start now. Buyers penalize messy financials in valuation—often by 10-20% of purchase price.
Financial statements (3-5 years), tax returns, customer contracts, revenue reports, AR/AP aging, cap table, legal documents, insurance policies, employee contracts, and quality of earnings analysis. We help you organize all financial documentation in an investor-ready format.
A Quality of Earnings (QofE) report validates your EBITDA and revenue quality for buyers. It identifies one-time expenses, normalizes earnings, analyzes trends, and confirms your numbers are reliable. Most sophisticated buyers require QofE.
Messy or inconsistent financials, revenue recognition issues, undisclosed liabilities, customer concentration risks, missing documentation, and surprises. Most deal killers are preventable with proper preparation.
Yes, this is an optional service you can elect at time of sale. If you choose, we can act as your broker since we have deep knowledge of your business and financials. This service is completely optional and separate from the IDD Program.
Clean, organized, investor-ready financials typically increase valuations by 10-20%. For a $15M business at 5x EBITDA multiple, that’s $1.5M-$3M increase in purchase price. Buyers pay premiums for certainty.
Most businesses leave $1M-$3M on the table by not preparing properly for due diligence. Clean, organized, investor-ready financials command premium valuations and close faster.
