Phase 2: Due Diligence
Private equity, activist investors, limited partners, and strategic buyers acquire companies after an estimation of how they can accelerate value creation.
Many of the variables that have positive or negative impact on value creation fall into the sales and marketing function – both in terms of revenue growth and cost reduction. An intense assessment of the sales and marketing capabilities of a target company is critical to avoid a poor decision or an inaccurate offer. However many investors and their advisors are not experts in the sales and marketing discipline. This is where SBI can help.
- Value Creation Plan
- Addressable Market Size & Growth
- Competitive Landscape & Positioning
- Product/Market Mix
- Distribution Strategy
- CAC/LTV Analysis
- Sales and Marketing Effectiveness
- Pipeline and Forecast Accuracy
- Cost Structure Analysis
- Talent Evaluation
With the due diligence portion completed, it’s time to move on the final phase, Phase 3: Value Creation Plan.