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Financial Due Diligence: Avoid Buying a Lemon

The checks that stop you overpaying or inheriting hidden problems.

📚 9 articles⏱️ ~2.5 hoursAdvanced

About This Learning Path

Most acquisition disasters show warning signs in the financial data — if you know where to look. You'll learn to read quality of earnings reports (are profits real or accounting tricks?), spot hidden liabilities (deferred expenses, warranty claims), check debtor quality (will those outstanding invoices actually get paid?), and understand working capital adjustments (why the price can change after closing). By the end, you'll know the red flags that kill deals and exactly which numbers to demand before signing.

Modules (9)

1

What Is Financial Due Diligence?

Article from AskBiz Academy

2

What Is Normalised EBITDA?

Article from AskBiz Academy

3

What Is Working Capital in M&A?

Article from AskBiz Academy

4

What Is a Quality of Earnings Report?

Article from AskBiz Academy

5

What Is a Balance Sheet?

Article from AskBiz Academy

6

What Are Debtor Days?

Article from AskBiz Academy

7

What Is Goodwill?

Article from AskBiz Academy

8

What Is a Term Sheet?

Article from AskBiz Academy

9

What Is a Shareholders Agreement?

Article from AskBiz Academy

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