Due Diligence Excel Best Practice - Balance Sheet starter pack

This tool is a template that will get you started with your Balance Sheet financial due diligence. I have built all the template analyses in the tool based on several years of experience in M&A Transaction Services at PwC focusing on what I found were recurring, essential analyses to be conducted in any good Financial DD.

I present in this model a made-up summary Balance Sheet that you can populate with your own numbers. Throughout the whole excel file, parts that expect you to manually enter your numbers are indicated in a pale yellow colors and all the other cells are automatically calculated or linked from another tab. You will find in this template :

- A reported annual and monthly Balance Sheet

- A model to build an adjusted Net Working Capital from the reported NWC with a few exemples of common adjustments

- A summary view of reported to adjusted NWC

- A graph of adjusted NWC vs reported NWC and snapshot of min max average NWC per year

- A calculation of DSO, DIO and DPO using the countback method. (please note for DSO, DIO, DPO greater than 90 days the formula needs to be updated)

- An analysis of inventory vs DIO on a monthly basis and a seasonality analysis of inventory

- A Monthly inventory breakdown

- A stock aging analysis

- A debt and debt like analysis with a few examples of common adjustments

- A maintenance Capex vs. Growth capex analysis

- An asset roll-forward analysis