Structuring of business transactions
Structured influence on the external presentation of companies in financial reporting and their KPIs
Financial reporting is the basis for measuring success in various areas of a company – for example, management remuneration/performance or the reporting of key figures to shareholders, investors and lenders.
With our holistic approach, you will experience an improved external image and certainty regarding the achievement of your goals.
Our services at a glance
Companies have an increasing need to anticipate the impact of transactions and events on the balance sheet and income statement, for example in terms of presentation and volatility. In addition to structuring to achieve a desired balance sheet presentation, companies are also confronted with situations in which management or a (new) shareholder wishes to set up a group structure in such a way that, for example, it optimizes dividends.
Those responsible for finance and accounting or controlling may ask themselves the following questions, for example:
- How can revenue recognition be influenced with reference to the business model?
- How can EBITDA be improved?
- What are the implications of a crisis on sales/EBITDA and other key figures?
- How can a lower net debt be reported?
- How can volatility in the P&L be reduced?
- How can (operating) cash flow be improved?
Capital Markets & Accounting Advisory advises companies on structuring depending on individual objectives:
- Qualitative assessment of the relevant accounting issues
- Quantitative mapping of these issues in the income statement, balance sheet, cash flow statement and statement of changes in equity
- Consideration of sensitivities in all above-mentioned components (for example: interest rates, financing ratios, maturities, useful lives)
- Determination and consideration of the influence of changes in variable parameters or design alternatives on the balance sheet
What this means for companies
- High-quality assessment of accounting consequences with concrete quantitative statements
- Clear understanding of the relationship between cause and effect of the design alternatives on future accounting
- Clear presentation of the data relevant for decision-making
- Security in the planning process
What sets us apart
Our expertise in innovative structuring options is based on many years of experience with comparable transactions. For example, we have assisted numerous companies in influencing the impact of transactions on their balance sheets and income statements, and in finding solutions for dividend or EBITDA optimization (for example, through leasing or off-balance sheet constructions). We have also successfully assisted companies with the covenant structuring of loan agreements.
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