Due Diligence

Whether you are looking to expand your business through acquisition, preparing for sale or looking for additional finance, our due diligence service will identify people-related concerns.

Who is this service for?

  • Buyers of companies
  • Sellers of companies
  • Corporate acquirers
  • Financial investors
  • Startups preparing for DD

What does this service offer?

Human due diligence provides valuable information to identify the nature and extent (and potential impact on value) of people-related risks in M&A deals.

In some instances, people risks can be low, however, they can also be presented as a major risk. Our service helps you make decisions with all the facts to hand.

How does it work?

  • We remotely analyze the processes, examine related paperwork and records related to all aspects of the Human Resources function.

  • During the visit we will review documentation and meet with relevant employees. We use information from the site visit to cross-check and validate the information provided within the documentation and to gather further information to inform our assessment.

  • We conduct structured interviews with management and relevant employees. If practical, interviews may take place during the site visit. Interview questions are based on risk matrix and information gathered during documentary review and the site visit.

  • Our final report will include a summary of the the key issues identified, and our views on the risks identifued and possible implications for the deal. This is likely to include an executive summary, followed by more detailed sections covering the various areas reviewed. We structure our written findings so that our opinions are clearly conveyed, in addition to the factual content.

What we look at

  • We explore how decisions are made within the target and what procedures are in place to facilitate decision-making.

  • We find a target company’s centers of influence, identify mission critical employees and those positions that must be filled for an organization to perform its core mission.

  • We test the remuneration and benefit structure for external competitiveness and internal equity, and identify any golden handcuff/parachute arrangements.

  • We determine the differences and similarities between the target’s culture, on the one hand, and the acquirer’s culture, on the other, to assess the ability of the two companies to integrate.

Lines of service

  • We will check target acquisitions from a human capital perspective looking at the human value that is off the balance sheet, uncover hidden people-related risks that may impact the success of the combined enterprise, and recommend practical actions to mitigate the risks and resolve the issues.

  • Vendor due diligence is an important factor in the successful sale of a business. It provides an independent assessment which can answer potential questions, reassure prospective buyers and help sellers identify risks early on in the process. We can help here. We understand issues from the vendors’ perspective but can also advise on what prospective buyers will be looking for.

  • We can help you develop people integration strategies and an improved HR model to create more value – whether you’re looking to integrate an established business or digital company, including a startup.

Get in touch

Email
Telegram t.me/psiwell
WhatsApp https://wa.me
Call 38 0674805711