Pre-Acquisition Due Diligence and Assessments

When you acquire a company, you do whatever you can to mitigate risk including a robust and detailed due diligence process. While you spend a great deal of time and money diving deeply into the acquisition targets finances, IP, operations, etc. you leave the evaluation of leadership up to some interviews and gut feeling. Since the leadership of the organization is the make-or-break element of the deal being successful, why are you leaving that to chance?

The Need for Pre-Acquisition Assessments

When you’re acquiring another company, it is essential to do the necessary leg work for the transaction to be a success. This includes:

  • Assessing the target company's employees and workforce to identify potential risks and liabilities.
  • Understanding the workplace culture of the target company to determine if there will be a clash of cultures post-acquisition.
  • Identifying key leaders and developing strategies to retain them.
  • Evaluating the skills and competencies of the target company's leaders to see if there are any gaps that need to be addressed.

Through our Pre-Acquisition Due Diligence process, Chapman & Co. Leadership Institute can help you in each of these areas as you seek to complete the acquisition.

The Importance of Due Diligence

Our robust Pre-Acquisition People Due Diligence process gives you insight and confidence to know if the current leadership team has the capability to take the company to the next level of growth and profitability.

Are they effective leaders who motivate others to do their best?

Can they drive the business results to scale?

You will know the answers to these questions and more, before closing the deal. With this information in place, you will position yourself for a seamless transition with the optimal leadership team or recognize where the team needs to be supplemented.

The best private equity firms know the importance of due diligence not only regarding a company’s finances and strategy but also its leadership and culture. That’s where Chapman & Co. Leadership Institute’s people's due diligence makes a positive impact. With our targeted executive and culture assessment process, we can provide you with the following:

  • Detailed knowledge of each executive’s strengths, development needs, and if they are the right fit for the position they are currently in.
  • Information to help you in your deal strategy and the pursuit of closure.
  • Additional insights relevant to making a good investment at a competitive price.

We investigate issues, uncover potential pitfalls, and ask questions that don’t get the attention you require in other aspects of due diligence. What’s more, we know how to put executives at ease, so they feel comfortable sharing information about the company that uncovers insight you need to make an informed decision, not a guess.

What is our Pre-Acquisition Due Diligence process?

Our Pre-Acquisition Due Diligence process evaluates the personnel and human resources aspects of a company that you are trying to acquire.

The following areas are evaluated:

  • Organizational structure
  • Key team members
  • Culture and employee morale
  • Talent development

Through our Pre-Acquisition Due Diligence process, you’ll gain knowledge of each executive’s strengths, development needs, and gaps to see if they are the right fit for their existing position. We’ll help you gather info to help you further the deal and make sure you have a good return on your investment.

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