Corporate Finance Services
Business plan & Financial Modelling
We prepare business plans for fund-raising purposes that tell your story well and concisely. We take all your information and package it in clear, logical and persuasive language. We outline the key detailed operations of the business, the way the product will get to market and who will produce it. We analyse your competitors’ strengths as against yours and how you will deal with it. We then prepare detailed financial projections that enable you to answer potential investors’ questions such as:
- What is the debt to equity ratio and how does it compare with others in the industry?
- Why do you need the particular level of cash you are seeking?
What’s the return on investment?
What is the payback period?
How have you accounted for inflation?
How do you justify your valuation of this company’s shares?
Why do you think the market will accept your sales price?
Why do people need your product?
Sometimes it’s not clear what the best approach to implement an idea is. You need to think through each option and understand its pros and cons before you settle on one that produces the results you want. We work with you to test each suggested solution and see which one produces the best results. We assemble the information related to each option, considering any ancillary income or expenses that are specific to each idea, the number of people you need to involve to make each idea work and the turnaround time to start and to receive results or payback. Based on the key criteria that we agree with you, we are able to make suggestions about the best option. We have a network of connections with technical experts from public policy through civil engineering to agricultural economics with whom we work to ensure that you receive realistic and reliable information about the best route to take.
Accountants’ Reports for fund-raising/ listing statements.
A typical requirement when seeking funds from a pool of investors or from the public is an Accountants’ Report. In the case of listings on the stock exchange, this is a mandatory requirement. Our associated audit firm, JG Associates will compile an Accountants Report from your audited financial statements, and accompanying information. Where they need to adjust it to ensure that accounting policies and their effects are uniform throughout the years covered by the report, they will do so. They will also liaise with your auditors, if need be, to clarify any matters that need to be explained. Such matters might include the details of significant judgements in valuations of assets and liabilities, the nature of contingent liabilities, provisions for warranties and changes in treatment of individual items in the financial statements over the period. As experts in International Financial Reporting Standards and accompanying disclosures, they will ensure that your Accountants’ Report enables you to put your best foot forward.
Due diligence investigations for mergers and acquisitions.
When planning an acquisition of an existing business or part of a business, you need to have assurance about the key things that attracted you to it in the first place. You also need to to be sure that there are no hidden problems that could turn a potentially good deal into a major mistake. Although there is a presumption that people are honest, it is always better to have an independent review done. Our experienced personnel will go into the organisation whose operations you want to review with a fine-tooth comb. Whether you require a full due diligence investigation or a limited review, focusing only on certain specific aspects, we will give you a thorough report.
How much is your business worth? If someone wanted to buy it, or a share in it? What if you would like to acquire a piece of someone’s business – what is a fair price to pay? We can help you answer this question using a variety of techniques that will nail down a value or range of values that are truly objective. These techniques include comparisons with similar entities, discounted cash flow valuations and adjusted book valuations. We go through our methodology with you and discuss the range of information available. We consider what adjustments should be made for being able to take full control, what recent developments surrounding the entitiy you can take into account and whether there are any significant non-producing assets included as well as reasonable expectations of payback periods. These are factors that impact differently on different kinds of business. We can advise you about which are the most relevant to you as part of the valuation process.
Helping you find investors/ business partners.
Apart from the “backroom” work of preparing valuations, due diligence investigations and related work, sometimes, you simply need help locating a business partner. Our extensive networks in the business environment put us in a position to locate and evaluate potential partners, whether they are investors or investees, that you can work with. We are able to make the initial approach on your behalf and even walk with you through the entire process through preparation of information memorandums to selection of professionals with whom to work.
Preparation of financial forecasts.
Sometimes there is a need to obtain an independent assessment of the financial flows of an organisation, either as part of a limited review report or for shareholders considering making an investment (or even selling off an investment.) We can provide an independent review of the financial flows or even prepare separate figures, taking into account the factors that we consider significant.