Most founders go through a business transaction once. Investors do it for a living. That gap in experience, preparation, and financial readiness is where deals get revalued, restructured, or derailed.
What this engagement covers
- Sell-side financial preparation – organizing and presenting the financial history of the business in a way that holds up under buyer due diligence and supports the valuation position.
- Quality of earnings support – working alongside the QoE process to understand what an acquirer’s advisors will examine and ensuring the financial record is accurate and well-documented.
- Financial data room preparation – structuring the financial documents, supporting schedules, and accounting records that buyers and their counsel will request during diligence.
- Buy-side financial review – for founders acquiring another business, evaluating the target’s financial statements, identifying risks and adjustments, and informing the negotiation.
- Entity and tax structure review – assessing the current structure ahead of a transaction and identifying whether restructuring would improve the outcome.
- Post-transaction integration support – managing the financial integration of an acquired business, including systems, reporting, team, and intercompany accounting.
Who this is built for
Founders who are considering selling the business they have built, who have received inbound interest from a buyer or PE firm, or who are in the process of acquiring another company. In most cases, the founder’s current finance team has not been through a transaction of this significance before. The gaps in preparation – in the financial records, in the supporting documentation, in the accounting treatment of specific items – are typically not visible until a sophisticated buyer finds them.
When to engage
As early as possible, once a transaction is a serious possibility. The financial preparation for a transaction takes time to do properly. Engaging after a letter of intent has been signed means working under time pressure that limits what can be addressed.
What Krishnan brings
More than 20 acquisitions led end-to-end as an operating executive both buy-side and sell-side. He understands what acquirers and their advisors look for, where financial records typically have gaps, and what preparation makes the difference between a clean process and a difficult one.
What buyers examine in a transaction
- Revenue quality – the consistency, recurrence, and contractual basis of reported revenues, and whether the accounting treatment is appropriate.
- Earnings normalization – identification of one-time items, owner-specific expenses, and adjustments that affect the true underlying EBITDA of the business.
- Working capital – the adequacy of working capital relative to the operating requirements of the business, and how it has moved over time.
- Customer concentration – the degree to which revenue is dependent on a small number of customers and the contractual terms governing those relationships.
- Accounting policies – the consistency of accounting treatment across periods and the appropriateness of policies for the nature of the business.
- Tax exposure – historical tax positions, open years, and any contingent liabilities that would affect the transaction structure or price.