At the same time, as it is made by an independent 3rd party, it increases the credibility of provided information, while reducing the amount of disclosed confidential material. This is important in a situation, in which a prospective acquirer is also a competitor.
Apart from simplifying and shortening the sale process, vendor due diligence also provides important information to the seller on the issues that could complicate or hinder negotiations and deal execution. This in turn provides an opportunity to address these issues in advance.
Vendor due diligence report would typically cover the following:
- Position in the market, including comparison to competitors.
- Business model.
- SWOT – strengths, weaknesses, opportunities and threats.
- Key value drivers and risks.
- Financial results and performance.
- Ownership structure.
- Corporate governance.
- Organisational structure and HR issues.
- Issues and opportunities important to prospective acquirers.
If you would like to learn more about our valuation and vendor due diligence services, please contact Valeria Cheshko, MSc, Country Manager Ukraine, by email: or phone: + 380 44 593 79 99 (Ukraine) or +386 1 234 33 00/18 (Slovenia).
