BenchAbility offers HR specific due diligence reviews when you are considering a transaction (acquisition or exit). The process itself is very important and, choosing the right partner for the reviews can add a great deal of value by giving you a professional and clear understanding of what financial and operational risks may exist within HR and, whether there are any issues which could have an impact on the transaction price, a simple example of this would be unfunded benefit plans.
The process, very broadly is to review the entire HR related function, forming a clear understanding of the employee demographic, terms and conditions (especially for senior executives), compensation and benefits plans, management/executive capabilities and any transitional challenges which may potentially exist.
The approach used would often depend on whether the transaction is for a standalone company, acquisition or carve-out.
Our due diligence services are also available to firms preparing for an exit and we review the HR function much the same way as an acquisition, giving you a clear understanding of where hurdles may exist when you are planning an exit, allowing you the opportunity to make improvements pre-exit phase, to increase the chances of you achieving your targeted IRR.