Due diligence services
Are you planning to carry out a business acquisition? Tuokko’s experienced experts in finance, taxation, and corporate transactions are here to assist you in the planning and execution of corporate arrangements. We conduct due diligence assignments, company analyses, and also offer our assistance in valuation matters.
The target of the transaction and potential risks should be identified in advance before the final deal is made, in order to avoid potential surprises and disputes. Thoroughly conducted financial and tax due diligence can reveal possible hidden liabilities, financial risks, or operational challenges related to the subject under investigation. Our analysis also helps to ensure that the purchase price is adjusted to the appropriate level and whether adjustments based on identified risks are required. The due diligence process provides certainty on whether the transaction is worth pursuing at all.
Due diligence report
In the report we have prepared, we present succinctly reasoned viewpoints and significant observations we have made, which, in our opinion, may have relevance to the execution of the transaction or the terms of the deal, or are otherwise crucial matters to bring to the attention of the client (potential buyer). In certain situations, it may also be beneficial for the selling company to conduct its own due diligence examination. This ensures that unexpected surprises, which could jeopardize the entire transaction process, do not arise during the process.
Our work, as agreed, encompasses conducting financial and/or tax investigations and reporting on them in written form. If desired by the client, our experts also present the report, our undertaken work, observations, and recommendations. We can also provide assistance in drafting the purchase agreement, ensuring the incorporation of pertinent matters.
Our financial review can cover topics such as:
- Income and profitability analysis, including a review of key items
- Balance sheet and financial position analysis, including a review of key items
- Budget and investment analysis
- Examination of corporate governance
- Identification of financial liabilities
- Lease accounting, review of lease agreements, rental yield calculations (for real estate properties)
Our tax review can focus on topics such as:
- Income taxation
- Value-added taxation (VAT)
- Property taxation
Typically, we go through the specific aspects agreed upon with the client for the past three financial years as well as the ongoing fiscal year. However, the extent of the examination and other terms are always agreed upon separately before commencing the work.
In addition to observations and recommendations, our reports provide a comprehensive understanding of the subject of the transaction. We detail the contents of items and significant changes in the report, which proves to be significantly helpful during the takeover phase.
Our customers’ feedback is of utmost importance to us:
“We conducted a large-scale corporate restructuring where ownership and operations of our companies were reorganized. In complex arrangements like these, it is essential to rely on skilled experts to avoid mistakes that could result in significant costs, and sometimes they cannot even be rectified.”
“With Tuokko’s expertise, our corporate restructurings were exceptionally successful.”
Get in touch with us! We are more than happy to assist you in the planning and execution of corporate arrangements.