Financial Due Diligence

Let the buyer beware — financial due diligence for acquisitions and mergers

Philip Barnes & Co produce financial due diligence reports for business purchases, mergers and partnerships — getting behind the balance sheet to give you the confidence to make informed decisions.

What we do

Buying a business is one of the biggest financial decisions you will make

The numbers on a balance sheet rarely tell the whole story. Philip Barnes & Co, Chartered Accountants in Tamworth and Uttoxeter, produce financial due diligence reports that go deeper — assessing true financial viability, surfacing hidden risks, and giving you a clear picture before you commit.

Whether you are acquiring a business outright, entering a merger, or forming a new partnership, our report is structured to answer the questions that matter most to you and your advisers.

Philip Barnes & Co are members of the ICAEW. That professional standing means our reports carry weight with lenders, investors and legal teams throughout the deal process.

What the report covers

Six areas every buyer needs to understand

Our due diligence reports are built around the six questions that most often determine whether a deal should proceed — and on what terms.

  1. 01
    True financial viability
    We assess whether the target business is genuinely profitable and sustainable — not just whether the headline figures look attractive. Normalised earnings, working capital trends and cash generation are all examined.
  2. 02
    Financial risk profile
    Every acquisition carries risk. We identify concentrations — customer dependency, supplier reliance, covenant exposure — so you understand what you are taking on before the deal closes.
  3. 03
    Inherited fraud risk
    Fraud and misrepresentation can be buried in a set of accounts. Our review looks for the warning signs — unusual transactions, related-party arrangements, and inconsistencies between management accounts and statutory filings.
  4. 04
    Off-balance-sheet issues
    Contingent liabilities, operating leases, pension obligations and undisclosed guarantees can materially change the value of a deal. We surface these before they become your problem.
  5. 05
    Deal negotiation intelligence
    Our findings give you a factual basis for price negotiation, earn-out structuring, and warranty and indemnity discussions. Buyers who commission due diligence consistently achieve better deal terms.
  6. 06
    Finance structuring options
    Lenders and investors need to understand the target's financial position before they commit. Our report is structured to support funding applications and to inform the most appropriate mix of debt and equity for the acquisition.

"John Clark and his team have advised on, and managed all areas of this transition… I would highly recommend Philip Barnes & Co."

Nick Matthew — 3 Time World Champion Squash Player

"Philip Barnes & Co have looked after my accounts and tax affairs for more than 7 years, and during that period, I have saved a significant amount of tax, thanks to the restructuring and tax planning advice I have received."

Rob Rock — Golfing Tour Professional

"We have been a farming client of Philip Barnes since 1970 and we have always found them approachable, friendly and supportive. Our diversification projects and our contracting companies have grown over the years with the professional support of Philip Barnes."

Helen Trivett — Partner, R.W. & H.E.R. Trivett & Sons

How it works

From first call to completed report

Free 30-minute consultation

Tell us about the deal — the target business, the structure you have in mind, and your timeline. We will confirm the scope of the due diligence report and what we need from you to get started.

Information gathering and review

We work through the target's financial records — statutory accounts, management accounts, tax returns, and any supporting schedules. We ask the questions the seller may not have anticipated.

Draft report and findings discussion

We present our findings clearly, without jargon. You will understand exactly what the numbers mean for the deal — and where the risks and opportunities lie.

Ongoing support through completion

Due diligence rarely ends at the report. We can support your legal team on financial warranties, assist with finance applications, and advise on post-acquisition integration and accounting.

Talk to us before you sign

If you are considering a purchase, merger or partnership, speak to Philip Barnes & Co before you commit. A free initial consultation costs you nothing — and could save you considerably more.

We act for clients across Staffordshire from our offices in Tamworth and Uttoxeter.

Book a free consultation Back to all services

Tamworth: 01827 60033  |  The Old Council Chambers, Halford Street, Tamworth, Staffordshire B79 7RB

Uttoxeter: 40 Carter Street, Uttoxeter, Staffordshire ST14 8EU

Free consultation