Transaction Advisory Services

Business and strategic reviews

What are the issues?

• As distress heightens, the company may experience rapid changes in the relationship with lenders (including being assigned to the lenders’ respective “workout” groups) and increasing expectations and demands from them.
• Unbiased information and insight into the company’s current position and projected future performance is required by lenders and other stakeholders to make informed decisions.

How we can help

We can provide an independent and objective view of the company, its markets and corporate strategy, and identify likely future challenges and potential funding requirements. The scope of the review will vary depending on your objectives and information needs. Our business and strategic review services include:

• Analysis of industry and market conditions and trends
• Critical appraisal of corporate strategy and management’s ability to deliver on the strategy
• Review of recent and forecasted financial performance, collateral position and cash flow
• Sensitivity analysis to assess risk and vulnerability to adverse variances
• Assessment of short-term cash flow requirements
• Liquidation analysis to estimate potential returns to stakeholders from a sale of the business or security enforcement
• Assistance forming and negotiating appropriate financial restructuring solutions

The potential benefits

• An independent assessment of the business status, environment and management’s plans highlighting the potential risks and issues helps support credit and investment decisions.
• Analysis of the current financial position of the various stakeholders — who is “in” or “out” of the money — provides a platform for discussions on additional funding requirements and financial restructuring.