The Modern Acquirer

The Modern Acquirer

Acquisition Diligence Checklist: Free Buyer Template

Open questions get lost as a purchase gathers momentum. This free checklist keeps each open finding, the person responsible and the next question together. Copy it into your own notes.

Copy the checklist

Keep acquisition questions visible

This free text checklist helps self-funded searchers, first-time acquirers, independent sponsors and operators buying add-ons organize questions for their advisers. It covers earnings evidence, review scope, operating cash, seller dependence, specialist review and the ownership handoff. The business acquisition due diligence guide explains the questions behind each section, and the guide to carrying diligence into a transition plan shows how findings feed the work after closing.

Copy the acquisition diligence checklist

Copy this checklist into your own notes. Complete a blank entry for each unresolved finding and keep it with the relevant adviser conversation.

Examine earnings and review scope. Which earnings claims need records, and what does the financial review leave untested?

  • Write the question: ____________________
  • Identify the supporting record or missing record: ____________________
  • Describe what remains unknown: ____________________
  • Identify the operating consequence: ____________________
  • Name the responsible role: ____________________
  • Write the next question or action: ____________________

Check operating cash. What resources, inventory and customer collections does the business need to keep serving customers?

  • Write the question: ____________________
  • Identify the supporting record or missing record: ____________________
  • Describe what remains unknown: ____________________
  • Identify the operating consequence: ____________________
  • Name the responsible role: ____________________
  • Write the next question or action: ____________________

Understand people and seller dependence. Which work, judgment and relationships depend on the seller, and who can explain the handoff?

  • Write the question: ____________________
  • Identify the supporting record or missing record: ____________________
  • Describe what remains unknown: ____________________
  • Identify the operating consequence: ____________________
  • Name the responsible role: ____________________
  • Write the next question or action: ____________________

Identify specialist review needs. Which financial, tax, insurance or industry questions need someone with relevant expertise?

  • Write the question: ____________________
  • Identify the supporting record or missing record: ____________________
  • Describe what remains unknown: ____________________
  • Identify the operating consequence: ____________________
  • Name the responsible role: ____________________
  • Write the next question or action: ____________________

Carry findings into ownership. What finding could affect operations, which role will follow it up, and what question remains open?

  • Write the question: ____________________
  • Identify the supporting record or missing record: ____________________
  • Describe what remains unknown: ____________________
  • Identify the operating consequence: ____________________
  • Name the responsible role: ____________________
  • Write the next question or action: ____________________

Filling in a field doesn't answer the question. Take the entries to your advisers and the incoming operating team.

See what the checklist covers

  1. Check earnings evidence

    Record which earnings claims still need supporting records so your financial adviser can see what remains unverified.

  2. Clarify the review scope

    Ask what the financial review covers and what it leaves out, so a finished report isn't mistaken for a finished review.

  3. Identify operating cash needs

    Ask which cash resources, inventory and customer collections the business needs to keep serving customers.

  4. Map seller dependence

    Record the work, judgment and relationships that depend on the seller so you can ask which capabilities will remain.

  5. Name specialist questions

    Identify financial, tax, insurance and industry questions that need someone with relevant expertise to review them.

  6. Connect findings to the handoff

    Pair each unresolved finding with a responsible role and next question so it remains visible as ownership changes.

Use the checklist with your advisers

Record what you need to understand. Write the question and identify the supporting record, if available. Keep a missing record visible as an open request.

Clarify what remains unknown. Discuss the gap with the relevant adviser. Record who is responsible and the next question. An unanswered item stays open.

Carry the finding forward. Connect the finding to its next action as you prepare for ownership. Keep unresolved questions in view when responsibility changes.

Understand the checklist before using it

Does completing the checklist mean diligence is finished?

No. It organizes open questions and records. Whether the business is worth buying depends on the review your advisers define and carry out.

What information does an entry contain?

An entry records the question, supporting record, what remains unknown, responsible role and next action. Refer to sensitive documents in your own secure records rather than entering them into a landing-page form.

How does it fit with specialist advice?

Use it to prepare and track adviser conversations. Bring in outside expertise, such as clinical or regulatory specialists, wherever you lack it. The specialist section is where those questions go; the answers come from the specialists.

What sources inform the checklist?

The topics come from interviews on The SMB Investor podcast with buyers and advisers, covering earnings review, operating cash, seller dependence, specialist expertise and carrying findings into ownership. Their remarks are paraphrased, and the checklist is our own; none of them endorses it.

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