Due Diligence

What is it? 

TABS Analytics' Due Diligence provides in depth analysis of offer memorandums on brands that are up for sale.  Our analysis, on behalf of the acquirer, goes beyond typical sales and market share data, to provide a more accurate picture of true brand strength and future revenue trends.

What am I buying? 

You are buying the expertise of TABS Analytics, which provides accurate future revenue trends predictions for consumer brands.  Our methodology filters out one-time factors that contribute to growth (e.g. distribution gains or market-level shocks), to capture the underlying growth trend.  We can also capture brands that have inflated their topline revenue through inventory loading vs. consumer pull-through.  Last, but not least, we can also ensure that brands inordinately dependent on marketing or trade spending, remain viable.

How will it help us? 

As a result of TABS Analytics' more accurate forecasts of future revenue potential, our clients are able to negotiate better purchase prices and save themselves hundreds of millions of dollars.  Many times, they avoided outright disaster by walking away from brands that ultimately disappeared from the market within two years.  Conversely, we have uncovered tens of millions of dollars of upside on brands that its own sellers were unaware of.

How is it different?

Thanks to our distribution-based analytics methodology, our forecasts are extremely accurate.  No other organization has our successful track record of forecasting future revenue trends.

How can we get started?

A level 1 analysis reviews a brand using only syndicated data at the national or regional level.  The cost, excluding data costs, is around $10-15,000 for one brand.  A level 2 analysis incorporates retailer data, shipment data, consumer surveys, and promotional information to gain a more precise understanding of the brand’s future potential.  Typically, this is done once there is an exclusive, non-binding letter of intent between two companies.  The cost is about $30-40,000 for one brand.