The checks that stop you overpaying or inheriting hidden problems.
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.
Part of this AskBiz Academy learning path.
AskBiz Academy
EBITDA forecasting projects your operating earnings before interest, tax, and non-cash charges — the metric investors and lenders focus on when valuing your business.
6 min read · Intermediate
A working capital forecast projects changes in your debtors, creditors, and inventory over time, revealing how growth ties up cash and where to free it.
6 min read · Intermediate
Part of this AskBiz Academy learning path.
AskBiz Academy
A balance sheet shows what your business owns and owes at a point in time. Learn to read one and what it tells you.
5 min read · Beginner
Part of this AskBiz Academy learning path.
AskBiz Academy
Part of this AskBiz Academy learning path.
AskBiz Academy
A term sheet outlines the key terms of an investment before legal documents are drafted. Learn what to expect and what to negotiate.
5 min read · Intermediate
A shareholders agreement is a private contract between the owners of a company that governs how the business is run, how decisions are made, and what happens when shareholders want to leave.
5 min read · Beginner
Follow this learning path to master financial due diligence: avoid buying a lemon.
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