Skip to main content

Due Diligence

Explore our latest insights and updates in Due Diligence.

Manufacturing production line with digital overlays highlighting quality issues including process drift, rework loops, and inspection points
Due Diligence

The Hidden Factory: Uncovering 20-40% of Capacity Lost to Quality Issues

Your production line is probably running at 60% of its true capacity. You just don't know it. Learn how to identify and recover the hidden factory consuming your throughput.

3 min read
Conceptual visualization of hidden factory capacity showing cracked EBITDA bars with coins leaking out, representing hidden costs in manufacturing
Due Diligence

True Cost Accounting in Food Manufacturing: Why Standard Costing Fails PE Due Diligence

PE due diligence teams are trained to spot financial red flags. What they rarely see: the hidden costs embedded in production that never appear on an income statement.

3 min read
Technician in food processing facility reviewing CIP monitoring dashboard on tablet showing efficiency improvement metrics
Due Diligence

CIP Data Maturity as an Operational Due Diligence Signal for PE Buyers

CIP system data tells a story about operational discipline. Here's what PE technical advisors should look for during facility tours.

3 min read
Quality control technician in food processing facility using tablet to document safety and compliance protocols
Due Diligence

Food Manufacturing Insurance Premium Reduction: How Operational Improvements Lower Risk

Operational improvements that reduce insurance risk can lower premiums 10-25%, creating direct EBITDA expansion. Here's how PE firms capture this value.

3 min read
Magnifying glass with diagnostic overlay examining beverage production line equipment for operational issues
Due Diligence

Operational Due Diligence Red Flags: 20 Signs of Hidden Value Destruction

A single red flag doesn't kill a deal. A pattern of red flags signals systemic operational challenges. Here's what PE teams should look for during facility tours.

3 min read
Modern beverage bottling production line with efficiency metrics dashboard showing high utilization rates
Due Diligence

Private Label Food Manufacturing: Why PE Firms Are Investing in Co-Packers

Private label growth is sustainable, not cyclical. Here's why PE firms are targeting co-packing platforms and what operational factors drive success.

3 min read
Industrial food processing facility with diagnostic overlay highlighting wastewater infrastructure and potential discharge points
Due Diligence

Wastewater Discharge Risk in Food & Beverage Acquisitions: Environmental Liability Buyers Miss

A beverage company's CIP upgrade flooded the facility and triggered environmental investigation. Here's the wastewater risk PE firms miss during due diligence.

3 min read
Industrial manufacturing equipment with diagnostic overlay showing financial due diligence as optimal while operational due diligence reveals hidden debt
Due Diligence

Deferred Maintenance Valuation Risk: The 6-12 Month Catch-Up Program PE Firms Need

PE firms model deferred maintenance as 'deferred CapEx'—but they rarely identify 100% during due diligence. Here's how catch-up programs recover hidden EBITDA.

3 min read