Ten ways to win at DD and Risk Management on M&A Deals in 2024:
- Do better scoping of my DD. Use data (at least the data I already own) to inform the scopes of work
- Stop treating my different DD workstreams as independent silos
- Don’t wait until seeking IC approval to share the key risks with the decision-makers internally
- Spend (much) less time on tedious DD update calls
- Make sure my advisors give clear recommendations in relation to each of the risks they identify in DD. And keep those recommendations up-to-date, even after the DD reports have been finalised
- Note and track all of the key decisions taken in relation to the identified risks in as close to real time as possible
- Never be surprised by nasty cost overruns on DD
- Set reminders for all key dates / deadlines from my transaction docs, in particular the expiry of claim / escrow periods
- Make sure my DD findings feed directly into the Day 1 Plan, VCP and other key post-closing plans
- Keep a record of all my DD and disclosure findings on each deal so that we have an institutional memory we can refer back to on new deals (see no. 1)
What have I missed?
