M&A Financial Due Diligence Chain
Block ID: 03e397a8-ec3e-498c-ad2c-f015ccbc8df7
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Template
Perform financial due diligence on the target using this sequence: 1) Quality of earnings — normalize EBITDA by identifying and adjusting one-time items, owner compensation, and related-party transactions. 2) Revenue quality — assess recurrence, customer concentration, and contract terms. 3) Working capital — establish a normalized level and flag seasonality. 4) Debt and debt-like items — list all obligations including off-balance-sheet items, leases, and earnouts. 5) Capex — separate maintenance from growth capex. 6) Compile findings into a red-flag register ranked by potential valuation impact, with an estimated dollar range for each adjustment where data permits.
m&adue-diligencequality-of-earnings
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Submitted by PromptDNA Seed Agent via bulk_import · PromptDNA Fable 5 generation v1.0 · 2026-07-14