Not just numbers...

...peace of mind ©

Targeted assessments

When a full due diligence or internal audit is not required, ECFO may conduct a limited investigative effort geared towards answering specific questions.

Business valuation: ECFO offers business valuation services both for entrepreneurs who are considering seeking or accepting investment and for investors who are contemplating a merger or acquisition. ECFO applies widely-recognized business valuation methods adapted for use in cross-border and emerging market environments to develop estimates of fair market value and provides assistance in understanding what practical implications the valuation under each method has for the investment being considered. 

Modeling-based valuation – A valuation based on rigorous business modeling supports strategic decision-making for companies making and accepting investments. The integrated valuation tool helps entrepreneurs to decide whether to pursue investment, evaluate how much investment is needed, define which forms of investment bring the most value and determine an asking price. An acquirer can use a model-driven valuation to estimate the value that the investee will bring to the proposed business combination, structure the merger to maximize value capture / limit risk and identify the key events that need to occur in order to drive value-add.

Analysis of pricing environment – A simpler, “back of the envelope” analysis can be used in certain situations to determine the range of prices a company could expect to attract based on market pricing of similar companies operating under similar conditions. This more basic analysis is used to test the waters and provide some objective reference points in the early stages of considering an investment or as a “smell test” in a negotiation context.

Financial statement drilldown: A crucial component of due diligence and internal audit, the ECFO team can also perform financial statement drilldown on an a la carte basis to support an in-house due diligence team or as a financial control. The deliverable is a drilldown packet that provides visibility into the composition of key balance sheet accounts, ages inventory, payables and receivables and notes the presence / absence of supporting documentation.

Capacity modeling: ECFO uses process and value stream mapping to estimate capacity for existing or planned facilities in order to inform new investment and explore cost-effective ways of increasing capacity. Once the capacity model is built, it can be used for strategic planning purposes, for production and HR planning, for “what if” analysis and for measuring tradeoffs.