
Financial Due Diligence: What Buyers Look For
Before buying a business, investors test whether its profit, cash flow and balance sheet are as good as they look. What financial due diligence covers, and how sellers can prepare.
Commentary, guidance and analysis on audit, tax compliance, and corporate advisory matters, written by the practitioners who handle the work.

Before buying a business, investors test whether its profit, cash flow and balance sheet are as good as they look. What financial due diligence covers, and how sellers can prepare.

Borrowing keeps you in control but adds fixed repayments. Investors bring cash without repayments but take a share of the business. A quick guide to the pros and cons of each.

After an acquisition, MFRS 3 requires the price to be allocated to the assets and liabilities acquired at fair value. How the purchase price allocation shapes future profit, goodwill, impairment and deferred tax.

The revised MPERS applies to financial periods beginning on or after 1 January 2027. The main changes to revenue, consolidation, financial instruments, fair value and business combinations, and how to prepare.

Revenue recognition, lease accounting and expected credit losses can change reported profit when a company moves from MPERS to MFRS. What to assess before the transition becomes urgent.

Lower individual and SME tax rates, a RM2,000 minimum wage, first-home stamp duty relief and new investment incentives. The Budget 2027 measures that matter most for our clients.

Under PD 10/2024, qualifying private companies can drop the statutory audit. What the phased thresholds and three-year test mean in practice, and when keeping the audit still makes commercial sense.

The 2026 rules raised the Main Market profit test to RM30 million. How Bursa's Main and ACE Markets now differ, and what IPO readiness really involves.

What HASiL’s new intra-group loan guidelines mean for SME groups, and how to review and document related party transactions on an arm’s length basis.

Clients often ask for “an audit” when what they need is a set of agreed procedures. How to choose the engagement that answers the right question.

A practical readiness checklist for Malaysian groups considering a US listing via Form F-1: financial reporting, controls, related parties and governance.

e-Invoice is an accounting and process project as much as a tax one. What to review, from master data to credit notes, under the RM3 million threshold.
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