{"id":249043,"date":"2022-11-20T15:36:44","date_gmt":"2022-11-20T14:36:44","guid":{"rendered":"https:\/\/www.altermes.fr\/use-case\/acquisition-audit-prior-to-investment-decision\/"},"modified":"2023-10-19T11:39:23","modified_gmt":"2023-10-19T09:39:23","slug":"acquisition-audit-prior-to-investment-decision","status":"publish","type":"use-case","link":"https:\/\/www.altermes.fr\/en\/en-use-case\/acquisition-audit-prior-to-investment-decision\/","title":{"rendered":"Acquisition audit prior to investment decision"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">Context<\/h2>\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n<p>Our client has asked us to carry out an audit as part of a project to acquire a target company.  <\/p>\n\n<h2 class=\"wp-block-heading\">Objectives of the acquisition audit<\/h2>\n\n<p>Our initial work was designed to help our client identify the risks and opportunities that could prove important in his investment decision.  <\/p>\n\n<p>Based on the available information and management presentations, we conducted an in-depth analysis of the significant points identified.<\/p>\n\n<figure class=\"wp-block-image aligncenter size-large is-resized\"><img decoding=\"async\" src=\"https:\/\/www.altermes.fr\/wp-content\/uploads\/2023\/07\/recherche--1024x683.jpg\" alt=\"\" class=\"wp-image-248007\" width=\"512\" height=\"342\"><\/figure>\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n<h2 class=\"wp-block-heading\">Scope of report and work<\/h2>\n\n<p>Our work focused on the following themes:<\/p>\n\n<h3 class=\"wp-block-heading\">Presentation of the target company<\/h3>\n\n<ul class=\"wp-block-list\">\n<li>Description of its contractual and legal environment<\/li>\n\n\n\n<li>Presentation of key target figures for historical periods<\/li>\n<\/ul>\n\n<h3 class=\"wp-block-heading\">Quality of financial information<\/h3>\n\n<ul class=\"wp-block-list\">\n<li>Comments on financial reporting procedures, accounting rules and methods, internal control systems ;<\/li>\n<\/ul>\n\n<h3 class=\"wp-block-heading\">Latest balance sheet<\/h3>\n\n<ul class=\"wp-block-list\">\n<li>Analysis of the main balance sheet items and changes in relation to the previous year, in particular :\n<ul class=\"wp-block-list\">\n<li>Main fixed assets and their depreciation periods ;<\/li>\n\n\n\n<li>Composition of merchandise inventory ;<\/li>\n\n\n\n<li>Receivables and customer portfolio (average payment period, correct post-closing debt clearance, disputes, bad debts, etc.) ;<\/li>\n\n\n\n<li>Justification of cash balances ;<\/li>\n\n\n\n<li>Review of financial and operating debts, average supplier payment terms ;<\/li>\n\n\n\n<li>Review of provisions and litigation ;<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n<h3 class=\"wp-block-heading\">Income statement for most recently closed financial statements<\/h3>\n\n<ul class=\"wp-block-list\">\n<li>Analyse des principaux postes du compte de r\u00e9sultat et de leur variation par rapport \u00e0 l\u2019exercice pr\u00e9c\u00e9dent&nbsp;et notamment&nbsp;:\n<ul class=\"wp-block-list\">\n<li>Review of sales, broken down by customer and type of service ;<\/li>\n\n\n\n<li>Analysis of operating expenses and identification of non-recurring items;<\/li>\n\n\n\n<li>Review of personnel costs and headcount.<\/li>\n\n\n\n<li>Breakdown of &#8220;normalized&#8221; adjusted EBITDA<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n<p>\ud83d\udd0e For more information on <a href=\"https:\/\/www.altermes.fr\/en\/audit\/#solutions\">our auditing and statutory auditing services,<\/a> <strong>click here!<\/strong><\/p>\n\n<p>\ud83d\udcde To <a href=\"https:\/\/www.altermes.fr\/en\/contact\/\">contact <\/a>us for an acquisition audit, click <strong>here!<\/strong><\/p>\n\n<figure class=\"wp-block-image aligncenter size-large is-resized\"><img decoding=\"async\" src=\"https:\/\/media.giphy.com\/media\/kDfGTmnbS9Ljm9hnwq\/giphy.gif\" alt=\"\" width=\"350\" height=\"350\"><\/figure>\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Our initial work was designed to help our client identify the risks and opportunities that could prove important in his investment decision.  <\/p>\n","protected":false},"author":2,"featured_media":248008,"parent":0,"menu_order":0,"template":"","categories":[72],"class_list":["post-249043","use-case","type-use-case","status-publish","has-post-thumbnail","hentry","category-audit-and-statutory-audit"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.altermes.fr\/en\/wp-json\/wp\/v2\/use-case\/249043","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.altermes.fr\/en\/wp-json\/wp\/v2\/use-case"}],"about":[{"href":"https:\/\/www.altermes.fr\/en\/wp-json\/wp\/v2\/types\/use-case"}],"author":[{"embeddable":true,"href":"https:\/\/www.altermes.fr\/en\/wp-json\/wp\/v2\/users\/2"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.altermes.fr\/en\/wp-json\/wp\/v2\/media\/248008"}],"wp:attachment":[{"href":"https:\/\/www.altermes.fr\/en\/wp-json\/wp\/v2\/media?parent=249043"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.altermes.fr\/en\/wp-json\/wp\/v2\/categories?post=249043"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}