Having a value enhancement lens in due diligence goes beyond traditional due diligence. It’s a look at what the assets could be with the right resources. It’s a deep dive into an acquisition target to uncover hidden opportunities for improvement. An excellent lens for distressed assets and PE acquisitions.
What specific tools have you seen used to uncover value enhancement opportunities during DD?
Thank you for your post, Benjamin.
I appreciate your suggestion that due diligence presents itself with an opportunity to enhance value. I would focus on financial management, inventory, and labor costs to begin with. These seem to be the most common areas of potential improvement.