Financial Due Diligence

We provide detailed financial due diligence reports to some of the largest dental corporates in the UK

Financial due diligence

What is financial due diligence?

Financial due diligence from a buyer's perspective allows them to achieve a higher level of insight into a proposed acquisition. It allows them to verify and investigate the deal opportunity in order to gain a level of comfort. It is essentially a buyer doing their homework and mitigating any risks.

What factors does a buyer need to consider?

  • Analysis of historical revenue
  • Quality of net assets
  • Working capital requirements
  • Forecasted financial results

Why is it important?

Buyers often borrow to fund the acquisition of a dental practice and as such must meet strict lending criteria prior to the purchase and adhere to financial covenants with their lender post-acquisition. A thorough financial analysis and appraisal of the target business is therefore of paramount importance.

If you are considering acquiring a dental business, financial due diligence is a critical aspect of transaction planning and is a crucial aid to buyers in assessing the suitability of the practice they propose to acquire.

The team at Mayfield Practice Sales have a wealth of knowledge and experience in the production of Financial Due Diligence, having been involved in the process from both a buyers' and sellers' perspective and for all types of dental practices.

If you are a buyer looking to appraise a potential practice acquisition, call us to see how we can help you gain valuable insight prior to your investment.

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