Buy-side Financial Due Diligence
De risk decisions and align price and terms. Our buy side Financial Due Diligence combines granular financial analysis with data diagnostics to reveal what really drives earnings and cash before you sign.
Why buy side diligence
- Validate normalized EBITDA and cash conversion
- Identify red flags that change price, terms, or structure
- Quantify working capital needs and seasonality
- Define net debt and debt like items with evidence
- Build KPI alignment for the 100 day plan
- Accelerate SPA negotiations with facts
What we deliver
- QoE report with EBITDA bridge and normalization
- Quality of revenue by product, customer, channel, and cohort
- Working capital analysis with normalization, seasonality, and target
- Net debt and debt like items schedule with supporting evidence
- KPI pack and definitions aligned to the deal thesis
- Accounting policy review and unusual item diagnostics
- Cut off, revenue recognition, and provisioning reviews
- Cohort, retention, and churn insights where relevant
- Unit economics and segment margin analysis
- SPA inputs covering definitions, thresholds, and price mechanics
- Data request management and diligence tracker
- Management interview insights and reference checks as needed
- Day 1 reporting blueprint and quick wins for the value creation plan
Our process and timeline
A project timeline for a typical project looks like the following:
- Week 0 to 1: Kickoff, data request, risk mapping, draft KPI map
- Week 1 to 2: Data ingestion, diagnostic dashboards, early findings
- Week 2 to 3: Deep dives on QoE, working capital, net debt, and KPIs
- Week 3 to 4: Draft report and SPA inputs, management Q&A
- Week 4 to 6: Final report, SPA and financing support, 100 day priorities
The actual length depends on the scope and complexity of the transaction.
Tech enabled delivery
- Power BI reporting and controlling, SQL data modeling, and secure connectors
- Microsoft 365 stack with role based access and audit trail
- Reusable dashboards for diligence and post close reporting
Who we serve
- Private equity funds and investment offices focused on mid cap acquisitions
- Corporate development teams evaluating bolt Add-ons and strategic investments
- Germany and the United States with bilingual delivery and relying on cross border experience
Tombstones
Here is a list of a few Buy-Side Financial Due Dilgience projects we successfully worked on over the past:
Why Radial
- Big Four level rigor with boutique speed and attention
- Ex Big 4 leadership, bilingual team, and PE native ways of working
- Data first delivery with dashboards, models, and governance you can run
- Proactive communication, clear ownership, and weekly deliverables
Frequently Asked Questions
We combine classic FDD with data diagnostics and fast dashboards, so you see drivers, anomalies, and seasonality early. Outputs are built for SPA and the 100 day plan.
As soon as you receive an information package or letters of intent are in sight. Early involvement helps shape data requests and deal focus.
Yes. All of our reports are fully bankable (in Germany through Radial GmbH Wirtschaftspruefungsgesellschaft) and can be used to secure debt funding for the planned acquisition.
Manufacturing, subscription (SaaS), project business, E-Commerce, consumer goods, industrial goods and more. We tailor driver trees and KPI logic to your business.
A standard engagement takes 4 to 6 weeks from kickoff to final report. Complex transactions can take longer.
Yes. We work with your legal, tax, and commercial advisors and align on SPA definitions and process milestones.
Yes. We provide definitions, threshold analysis, and metrics that inform SPA mechanics and lender discussions.
Yes. We hand over a day 1 reporting blueprint and help launch the operating rhythm for the first 100 days.
