Financial Due Diligence

What it is

This skill generates a structured financial due diligence checklist when you're evaluating an investment, acquisition, partnership, or major vendor relationship. It produces a document request list, analytical questions to guide your review, and a red flags checklist so you know what to watch for. Perfect for founders evaluating acquisition targets, operators vetting suppliers, or anyone who needs to assess a company's financial health without being a CFO.

What it does

• Creates a tailored document request list covering financials, revenue, costs, cash, debt, and tax
• Generates key analytical questions about revenue quality, margins, cash conversion, and liabilities
• Provides a red flags checklist highlighting common warning signs like customer concentration or aggressive accounting
• Outputs a summary assessment template to rate revenue quality, margin sustainability, cash generation, and overall risk

Use it when

• You're evaluating an acquisition target or investment opportunity and need to know what financial info to request
• You're vetting a major supplier or partner and want to assess their financial stability
• You're preparing for a board meeting or investor discussion and need a structured financial review framework
• You need to understand financial health but don't have a finance background