The Importance of Due Diligence in Business Purchases in Tampa Bay: Ensuring Financial Records Are Accurate November 6, 2024 by Michael Shea PA (Edit) When buying a business in Tampa, one of the most critical steps is due diligence, particularly when verifying the financial records. This process ensures that you’re purchasing a financially sound business and minimizes the risk of unwelcome surprises after the sale. Michael Shea , a respected Tampa Bay business broker at Transworld Business Advisors, offers these insights on how to approach due diligence and verify financials before closing a deal. 1. Understand the True Financial Health Financial records reveal much about a business’s stability, growth potential, and profitability. Key areas to review include: Income Statements : Track revenue, expenses, and net profit over several years. Balance Sheets : Examine assets, liabilities, and equity to assess overall financial health. Cash Fl...
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