Make Smarter Deals with Expert Financial Due Diligence You Can Trust
Financial due diligence is a critical part of any successful transaction. Investors, lenders, acquirers, and business owners rely on independent financial reviews to validate performance, uncover hidden risks, and make informed decisions with confidence.
Whether you’re acquiring a business, preparing for a sale, raising capital, or advising clients through a transaction, KnowVisory Global provides comprehensive financial due diligence services for buyers, sellers, investors, private equity firms, and CPA firms. Our transaction advisory specialists deliver Quality of Earnings (QoE) reports, working capital analysis, revenue quality, and potential liabilities to identify risks that could impact valuation, negotiations, or future profitability.
The result is a clear, evidence-based assessment that reduces transaction risk, strengthens negotiations, and facilitates confident deal-making.
We provide:
- Verified, normalized EBITDA and a quality of earnings view you can actually rely on
- Complete visibility into working capital, debt-like items, and liabilities that may influence the final purchase price
- A deeper understanding of revenue quality and customer concentration, helping you identify potential risks before they affect your investment.
- A review scoped to your actual deal, whether that’s an asset purchase, stock purchase, single-entity acquisition, or a multi-jurisdiction platform investment
- A comprehensive report designed to withstand scrutiny from lenders, investors, boards, and other stakeholders.
Who We Serve
We provide outsourced financial due diligence support for:
Confident Deals Start with Clear a Financial Review
Our outsourced due diligence service framework focuses on the areas that have the greatest impact on business valuation, deal negotiations, and post-transaction success. By evaluating these critical financial drivers, we provide the clarity needed to identify risks and make informed decisions.
Quality of Earnings (QoE) Analysis
We assess the sustainability of earnings by normalizing EBITDA and identifying one-time or non-recurring items.
Working Capital & Debt Analysis
Our team evaluates working capital requirements and uncovers debt-like items that could affect purchase price and cash flow.
Revenue & Customer Assessment
We evaluate revenue quality, customer concentration, and recurring income to identify risks to future performance.
Financial Risk Reporting
We uncover accounting inconsistencies, hidden liabilities, unresolved tax exposure, and other financial risks, delivering clear findings that enable confident negotiations.
Tailored Financial Due Diligence Services for Every Business's Needs
Whether you’re buying a business, preparing for a sale, raising capital, or navigating clients through complex transactions, our outsourced due diligence services guide every stage of the transaction with financial analysis, deal structuring insights, and strategic guidance to help you make informed decisions.
We extract and abstract all relevant lease data — commencement dates, lease terms, renewal and termination options, payment schedules, and lease vs. non-lease components — and build your complete lease register.
We conduct a comprehensive financial review to validate the target business, identify transaction risks, and support informed lower middle-market acquisition decisions.
Our advisors prepare your business for buyer scrutiny with organized financial information, a structured Virtual Data Room (VDR), and proactive issue resolution that helps keep the transaction moving.
Our Quality of Earnings (QoE) reports help buyers, investors, lenders, and CPA firms understand sustainable earnings before completing a transaction. We normalize EBITDA, identify one-time adjustments, review revenue quality, analyze customer concentration, and highlight accounting anomalies that could affect valuation.
Our tax experts review historical filings, unrecorded liabilities, entity structure, and transaction-related tax exposure, so tax surprises don't show up after you've already closed.
We review closing adjustments, working capital calculations, purchase price allocations, and other financial schedules to help ensure an accurate and efficient close.
Our advisors assist sellers throughout the financial due diligence process by responding to buyer queries, preparing financial information, and coordinating requests for a seamless transaction.
Once the deal closes, we align financial reporting, and controls to support a seamless transition and make sure the business runs smoothly from day one.
The KnowVisory Advantage
Our advisors have direct experience in assessing quality of earnings, working capital analysis, and identifying acquisition risk across small business and lower middle-market transactions.
Every findings report and QoE analysis is reviewed through a multi-step process before it reaches you, so it holds up when a lender or investor asks hard questions.
We track lease renewal and termination option dates, flagging issues before they become audit findings, covenant breaches, or restatement events.
We work directly in your data room and existing financial systems, using automation to move through large data sets without slowing the deal timeline down.
From a focused QoE report to a full buy-side or sell-side engagement, we scope the work to the size and complexity of your transaction.
We assess financials against US GAAP and other applicable reporting frameworks, so findings are accurate and defensible regardless of where the target operates.
Deals move fast. Most engagements begin data room review within days, so diligence doesn't become the bottleneck in your timeline.
Ready to Get Clarity Before You Close?
FAQs
What is financial due diligence and when do I need it?
Financial due diligence is an independent review of a target company's financial health, verifying reported earnings, working capital, liabilities, and risk before a transaction closes. It's typically engaged as soon as a letter of intent is signed and before final purchase agreements are negotiated, on any lower middle-market acquisition, investment, or sale.
What's the difference between buy-side and sell-side due diligence?
Buy-side due diligence is commissioned by the buyer to independently verify the seller's numbers and surface risk before committing capital.
Sell-side due diligence, on the other, hand is commissioned by the seller to prepare a clean, well-supported financial package ahead of a sale, anticipating the questions a buyer's diligence team is likely to raise.
What is a Quality of Earnings (QoE) report and why does it matter?
A QoE report normalizes a company's EBITDA by adjusting for one-time items, owner add-backs, and accounting anomalies, giving both sides of a deal a credible, sustainable earnings figure to base valuation and negotiation on, rather than relying on unadjusted financial statements.
What does a Quality of Earnings (QoE) report cost?
The cost of a Quality of Earnings (QoE) report depends on the size and complexity of the business, the quality of available financial records, and the scope of the review. Standalone QoE engagements are typically priced as fixed-fee projects, while more comprehensive financial due diligence engagements may be billed hourly or as a customized project. We provide transparent pricing after understanding your transaction requirements, ensuring you receive the level of analysis appropriate for your deal without paying for unnecessary work.
Does financial due diligence cover legal, tax, or operational risks too?
Our core scope is financial and tax due diligence: earnings quality, working capital, liabilities, and tax exposure. For legal, IT, or operational due diligence, we coordinate directly with your legal counsel or other specialist advisors, so your deal team gets a complete picture without duplicated work.
Do CPA firms outsource due diligence services?
Absolutely. Many CPA firms partner with specialized transaction advisory firms when clients require financial due diligence or Quality of Earnings (QoE) reports. This allows them to expand their service offerings without investing in a dedicated M&A team. KnowVisory Global works with CPA firms as a white-label or co-branded delivery partner, providing deal-ready financial analysis while allowing firms to maintain trusted client relationships.
What do I actually receive at the end of a financial due diligence engagement?
You receive a findings report covering normalized EBITDA, a working capital analysis, identified risks and red flags, and supporting schedules, organized so you can use it directly in negotiation, financing discussions, or board approval.
What documents are required for financial due diligence?
The required documentation varies by transaction, but typically includes historical financial statements, trial balances, general ledgers, tax returns, management accounts, accounts receivable and payable aging reports, customer and supplier information, debt agreements, bank statements, payroll records, and budgets or forecasts. Most engagements begin with a secure data request list, and our team works with you to prioritize documents based on the scope and stage of the transaction, minimizing disruption while ensuring a thorough review.
How long does an outsourced due diligence engagement take and how much does it cost?
Timelines depend on deal size and data availability, but most small business or lower middle-market engagements run several weeks from data room access to final report, with sell-side preparation often starting well before a formal buyer process begins.
Pricing depends on deal size, data availability, and scope, starting at $55/hour, with fixed-fee options available for standalone QoE reports or defined-scope engagements. This is typically a fraction of the cost of a deal falling through, or closing, on bad terms.
I'm buying a small business, not a large company — do I still need this?
Yes. Financial due diligence scales to the size of the deal. Even a straightforward small business acquisition benefits from verifying reported earnings, understanding working capital needs, and catching liabilities that a seller's financials may not fully disclose.
Can you help sellers prepare before going to market?
Yes. Sell-side due diligence and QoE preparation before you go to market typically leads to a smoother buyer process, fewer surprises during negotiation, and often a stronger final price.
Do you work with CPA firms and business brokers on client transactions?
Yes. We regularly partner with CPA firms and brokers to provide transaction advisory depth for their clients, either as white-labeled support or a co-branded offering, without them needing to build a dedicated deal team in-house.