Legal, Accounting & FA (Financial Advisor): Why you need all 3 in M&A

Because Legal cannot value a business, Accounting cannot review contracts, and FA cannot audit financial statements.

That’s why in an M&A (Merger & Acquisition), you need all 3 parties.

• Legal team conducts legal due diligence
  → to expose legal risks such as ongoing lawsuits, missing or expired licenses, and regulatory non-compliance.
• Accounting team conducts financial audit
  → to ensure the financial statements are correctly recorded, so the numbers used in valuation are reliable.
• Financial Advisor (FA) conducts business valuation
  → to determine the fair value of the target company based on verified financial data and assumptions.

After due diligence, if there are no hidden skeletons in the closet, the financials are audited, and the FA has completed the valuation, both buyer and seller can then move forward with confidence.

#ORNA #Consult #M&A #DueDiligence