Stout provided sell-side financial due diligence services to a family-owned business. The company provided transportation brokerage services, technology-enabled transportation management services, and management services. The business was experiencing tremendous growth as the industry was ramping up post-COVID.
The Stout Financial Due Diligence team performed quality-of-earnings analysis, net-working-capital procedures, budgeting assistance, and other guidance throughout the transaction process. The team performed multiple roll-forwards of their analysis throughout the process, responded to buyer inquiries, assisted in reviewing the purchase agreement, and established the working capital target for the transaction. The diligence included analysis around divested assets and reclassifications of pass-through revenue to present in line with GAAP.