We have listened at last! We have put together a very comprehensive Financial Due Diligence Manual. It's just over 90 pages of solid information.

Some visitors to this web page may be wondering why there is a seemingly high demand for Due Diligence Manuals (or Guides). Most Investment Banks, Commercial Banks, Development Finance Institutions (DFIs), Project Finance Advisory Firms, Corporate Finance Advisory Firms, Investment Management Companies etc. all do have Due Diligence Manuals and Checklist. The problem is just this - they are not easy-to-find documents in these institutions EVEN IF YOU WORK THERE!

Some of these institutions don't even put Due Diligence Manuals and Checklists on their Intranet networks. Sometimes some departments within some of these institutions make it difficult for staff members from other departments to get hold of their sector Due Diligence Manual and Checklist.

This is so because Due Diligence Manuals (Guides) and Checklists are VERY IMPORTANT AND VALUABLE DOCUMENTS in Financial Services. If you think about it - due diligence goes to the CORE of what some Finance Institutions do!

The more skilled the staff members of a financial institution are at Due Diligence, the better the institution manages Risks associated with lending and/or investing. The institution that manages risk best in a sector has a competitive advantage in that sector. If it's a bank, the bank will be the best bank at "weeding out" high risk transaction and clients. Those risky transactions and clients will end up on the books of the other banks that are not so good at Due Diligence!

By the way, not just financial services companies should be experts at Due Diligence - all enterprises should strive to have staff members who are well trained and experienced in Due Diligence.

Let's now turn our attention to our Financial Due Diligence Manual and Checklist!

Please note that the Financial Due Diligence Manual also INCLUDES a Due Diligence Checklist. A Due Diligence Checklist is also as important as the Manual itself! Some of our customers and subscribers have been contacting in the past checking whether we do have a Due Diligence Checklist.

That's why we have decided to sell both the Financial Due Diligence Manual (which also includes the Checklist) and the Financial Due Diligence Checklist.

Financial Due Diligence Manual

The Due Diligence Team is generally made up of the following professionals:

• Financial Due Diligence Member
• Marketing Due Diligence Member
• Technical Due Diligence Member
• Legal Due Diligence Member
• (Assisted by other professionals from the Support Departments of the Financier)

The Final Product of the Due Diligence Exercise is a Recommendation Report that gets presented to one of the Investment Recommendation Committees of the Institution.

For Banks and DFIs, the Financial Team Member of the Due Diligence Team is core to the Due Diligence Exercise, given that most of the issues dealt with during the investigation are Financial anyway. That's why our Due Diligence Manual has been written from the point of view of the Financial Due Diligence Team Member.

The Due Diligence Investigation process is basically like this:

• Team spends about a week to two weeks at the Client's offices
• Team returns to office and review their work and contact the client if there are outstanding issues the Team wants the Client to explain or clarify (Week 2 or 3)
• Write the Report and ask for assistance from Support Departments where Relevant (Week 3)
• Investment Recommendation Document is Peer Reviewed (Week 3 - 4)
• Report is presented to the relevant Investment Recommendation Committee (Week 4 - 5)

The Recommendation Report is either:

1. Accepted
2. Partially Accepted (there are issues to fix, and Team is asked to resubmit), or
3. Rejected (serious issues here!)

Contents of the Due Diligence Manual
The following are just the chapter headings. There are many sub-topics within each chapter. This Manual has over 90 pages of content. The main Chapters are:

1. Principles of Budgeting
2. Income Statement (Statement of Comprehensive Income)
3. Balance Sheet (Statement of Financial Position)
4. Cash Flow Statement
5. Ratio Analysis
6. Investment Approval Report
7. Structure
8. Typical Forms of funding
9. Appendix: Preparing the Income Statement
10. Appendix: Preparing the Balance Sheet
11. Appendix: Preparing A Cash Flow Statement
12. Appendix: Ratio Analysis
13. Financial Due Diligence Checklist and Sample Financial Questions
14. Definitions
15. Example (Demo) Company

Please note that this Manual is not a Course on how to use Income Statement/Profit & Loss (Statement of Comprehensive Income), Balance Sheet (Statement of Financial Position) and the Cash Flow Statement. Users of this Manual are assumed to be already familiar with them. The Manual just covers the most important aspects of these Financial Statement documents that a Financial Due Diligence Member should make sure are taken care of during the Due Diligence Investigation. The Manual also covers how financial information going into the financial statement documents is presented.

GO TO SALES PAGE: Financial Due Diligence Manual

PLEASE READ THIS: If ALL you want to purchase is JUST the Financial Due Diligence Checklist, then continue reading below.

The Contents of the Financial Due Diligence Checklist (including Sample Financial Questions)

1. Audit, Internal Control and Corporate Governance
2. Financial: Balance Sheet, Income Statement, Securities and Valuation
3. Listed Companies
4. PLUS Sample Financial Due Diligence Questions

All transactions/projects, situations and clients are unique - as a Financial Member of the Due Diligence Team you must check what other additional questions to ask the client given the unique situation of the transaction. Also remember, even after you have left the premises of the client, during the review of the Due Diligence, you will discover that you have more questions to ask the client. Some of these come about because of questions you've been asked yourself by Support Departments (e.g. Valuations Department) or the other Team Members.

Project Finance Financial Models