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Commercial Advisory Services

A Business's Growth

As any company grows, its management will be faced with tough choices. In order to make informed decisions, answers must be found to critical questions, prominent among which would be:

  • Comparison to Peer Companies: What needs to be done to increase its market share.
  • Ideal Geographies for Best Expansion Potential: How should the company expand.
  • Current & Future Industry Trends: What does this mean for the company.
  • Sources of Growth: How should the company grow organically or though acquisition.

Commercial Due Diligence

Market and commercial advice help our clients to make the right decisions on investments, mergers and acquisitions. Specifically, commercial due diligence reviews the target company’s historical and forecast performance from the perspective of its markets, its customers, its competitors, and its internal capabilities. It serves to provide investors a detailed and fact-based review of the target company’s strategic risks and opportunities, as well as a quantitative assessment of the growth projections used as basis for the transaction.

The target company’s (target) historical data and forecasts will be critically reviewed with attention given to identifying and assessing:

Investors want to look beyond traditional financial due diligence to investigate the target’s market performance and the assumptions underpinning forecasts. Testing the assumptions typically would include interviewing the Target’s management, key customers, suppliers and even competitors.

Commercial due diligence scope can be customised to your needs:

  • Competitive Landscapes
  • Geographical analysis
  • Market Environment
  • Quality of Revenue & Gross Profit Margins
  • Forecasts & Projections Reasonableness & Validation
  • Customers Concentration & Analysis

Market Studies

Market studies are key to understanding market dynamics and nuances critical for corporate decision-making. New business ventures — whether a product, service or a new target geographic market — require business plans to maximise success and to minimise risk exposure. The plan relies on insights on market demand, the level of competition and analysis of company capability. A market study is one of the critical inputs to a business venture which can falter as a result of insufficient depth or the absence of a market study.

Market studies support strategy development by addressing the following:

  • Analysis of the service / product differentiation and market entry strategies.
  • The dynamics of demand drivers and their implications.
  • The industry / market segments and size, including growth potential.
  • The competitive landscaping – customers, competitors and suppliers.
  • The regulations and barriers to market entry for the industry / products. 
  • An analysis on the industry prospects and trends. 

Location Studies

Location studies encompass:

  • Strategic location planning
  • New location selection
  • Review of preferred location options
  • Consolidation of existing sites
  • Optimisation of financial support
  • Optimisation of tax impact
Corporate decision makers find it important to have an independent and objective assessment of various locations for their business operations. A location study, whether for a manufacturing plant, warehouse, corporate headquarters, R&D facilities, shared service centre or branch presence, needs to focus on strategic, commercial, operational, financial and tax implications.

Click here to download a PDF brochure to find out how our Commercial Advisory Specialists can provide market and commercial advice to help you in making the right decisions and mitigate risk.

Speak to our Specialist(s)

Grace Lui

Co-Advisory Leader
Director, Valuation & Transaction Services

Karen Lau

Associate Director