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Getting Your Company Probe Ready

When selling your business, be ready for a potentially "invasive" due diligence probe

Owners of private companies understand they will have to allow the potential acquirer to conduct due diligence on their business prior to buying it. But, what surprises many is how detailed, even invasive, this due diligence can be. We refer to it as a probe and it’s one that you’ll want to ensure your company is ready to successfully withstand.

We work with our clients in conducting due diligence dress rehearsals at least 1 year prior to beginning the exit process. This dress rehearsal walks through, in detail, all aspects of a business to ensure it’ll be ready to support an acquirer’s due diligence. Here is just a brief snapshot of some of the key areas you’ll need your company to be able to support:

  • All legal documents reflecting company ownership are current
  • Financial statements are accurate for at least the past 3 years and are reported to your industry norms
  • Gross margins at the customer and product/service level are available, not just reported at the consolidated level
  • Employee organization chart, compensation & benefits plan documents and employee handbook are all current
  • Customer purchase history for at least the past 3 years is accurate
  • Vendor purchase history for at least the past 3 years is accurate
  • Sales opportunity pipeline reflecting future growth potential is documented and available
  • Critical company procedures are well documented – such as work orders, bills of material and standard operating procedures are current.

We offer an online tool for conducting a probe of your business to help you conduct a private due diligence dress rehearsal. Use this link to our diagnostic tool (Yosemite Associates Due Diligence Dress Rehearsal) or call us for help at 949.874.0787.

Don’t wait until you are in the throws of an acquirer’s due diligence to find out you were or weren’t ready for it. Use time as a friend to conduct an effective dress rehearsal and ensure that your future due diligence will go smoothly and support your euphoric exit plans.

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Use Greenpoint Testing to Achieve Your Desired Exit Valuation

It only takes 106 questions, scanning 10 essential business functions, to stress test your readiness for a successful exit.

However, these questions require thoughtful commitment to achieve your desired exit valuation.

During this up to hour-long online testing, you'll see questions such as the following.

Sample Question 02

After internalizing each question, select among three answer options – Agree, Unsure and Don’t Agree – choosing the answer which best describes you and your business.

Then, complete the Greenpoint questionnaire to unlock your personalized report, which will reveal any gaps in your planning, pointing to the action steps needed to maximize your desired exit valuation.

Format: Digital

Delivery method: Email

Report included: Your Greenpoint results

Stethoscope Frees You to Work On Your Business, Beyond In It

120 questions, scanning 10 essential business functions, free you to work ON your business, rather than solely IN your business.

With each question requiring thoughtful commitment to identify opportunities to further your success.

During this up to hour-long digital Q&A, you'll see questions such as the following:

Sample Question 02

After internalizing each question, select among three answer options – Agree, Unsure and Don’t Agree – choosing the answer which best describes you and your business.

Complete the Stethoscope questionnaire to unlock your personalized report, which will expose gaps [if any] in your planning, and tips for future growth, resulting in action steps needed to maximize your thinking as a business leader.

Format: Digital

Delivery method: Email

Report included: Your Stethoscope results

Be Ready for The Probe of Due Diligence

109 questions, scanning 10 essential due diligence disciplines, to prepare for a roadblock free Probe of your business in anticipation of sale.

And to potentially increase the value of your business by your professional transparency.

With each question requiring thoughtful commitment to identify opportunities to further your success.

During this up to hour-long digital Q&A, you'll see questions such as the following:

Sample Question 02

After internalizing each question, select among three answer options – Agree, Unsure and Don’t Agree – choosing the answer which best describes you and your business.

Complete the Probe Diagnostic Tool questionnaire to unlock your personalized report, which will expose gaps [if any] in your planning for a due diligence Probe, resulting in action steps needed to maximize your readiness when diligence is due.

Format: Digital

Delivery method: Email

Report included: Your Probe results