Operational Due Diligence

We leverage regional and global experience with a tacit knowledge of the restaurant industry to ensure a big investment is one that will yield powerful returns. Our operational due diligence services involve a comprehensive review of the organizational capabilities of a company, structured by functional area and departments, all with a holistic lens of the business.

 Through ascertaining short-term and mid-range investment needs, we can ensure that the performance, costs and capacity of the businesses can meet its forecasts and targets.

Rigorous due diligence is necessary to assess the projections of a business’ performance and to identify additional opportunities and risks that may impact the ultimate value assessment.

We can help by:

  • Analyzing individual store performance (to ensure that highly profitable or unprofitable stores aren’t skewing a company’s valuation)
  • Reviewing the target’s operational performance through the lens of culinary systems, food and labor cost analysis, potential guest experience improvements, and capacity and throughput analysis to determine productivity enhancements
  • Assessing everything from transaction-level granularity (including a trailing 36-month analysis), industry-specific KPIs and benchmarks to company culture and corporate governance
  • Recommending potential opportunities to institutionalize the business by investing in standardized procedures and industry best practices
  • Creating plans and developing prototypes for a new unit before expansion
  • Developing and unlocking value in new profit centers
  • Identifying opportunities for chains to become more efficient in the long-term through the implementation of infrastructure and technology