TWP, a member of The Corporate Finance Network in the South-East with its head office in Weybridge, has supported an existing client considering the acquisition of a business within the recruitment sector by undertaking financial due diligence.
Although both businesses operated within the recruitment sector, their business models differed significantly. The target specialised in executive search and headhunting services, generating the majority of its revenue from one-off placement fees. Contrastingly, the client derived most of its income from contractual manpower and recruitment services. The target was a family-run business with an annual turnover of approximately £4.5 million.
The client engaged TWP to undertake financial due diligence on the target company. In August 2026, TWP commenced the assignment and held several meetings with the target’s management team to review the business and its financial information.
During the review, TWP examined the underlying financial information and identified several discrepancies, including non-recoverable debtor and inter-company balances. They presented then their findings to the client, providing valuable insight into the target’s financial position and highlighting key considerations ahead of the proposed acquisition.
