Ipsen Management Services Provides Financial Due Diligence for
- Real Estate Developers
Financial Due Diligence for Lenders
Reviewing Previous Audits
- Ipsen Management Services starts by reviewing the borrower's previous audits looking for opinions and the number of times an auditing firm has been replaced in the past 5 years. In addition, IMS checks to see if the borrower has followed the recommendations of auditors?
Analysis of Internal Controls and Financial Ratios
-IMS will perform an analysis of internal controls and financial ratios looking for red flags indicating the concealment of liabilities, fraudulent activity, fictitious sales or receivables, embezzlement or a sudden increase in debt to equity.
Examination of Financial Statements
-IMS employing Data Analytics examines Profit & Loss Statements looking for significant changes.
-Further due diligence calls for the examination of other financial and tax transactions that may signal unpaid obligations or pending litigation.
-IMS will review and compare Balance Sheets against mathematical models looking for possible earnings manipulations as well as determining the overall financial health of the borrowing entity.
-IMS examines the borrower’s income projections to determine the feasibility and correctness of the risk associated with the investment.
In addition, IMS asks "Who is the Seller?"
-IMS examines the seller to determine if the "seller" owns the property or has the legal authority to convey the property, etc.
-IMS answers questions as to; who has the authority to bind the seller and is the payoff sufficient to cover all liens?
Due Diligence for Commercial Real Estate Development
Discover Missed Revenue Opportunities
Unlike traditional "property due diligence," IMS conducts its due diligence on existing or redevelopment projects from a financial perspective. Our goal is two-fold:
- We look for opportunities that can potentially make more money for your project and two,
- Help by identifying early on both problems or areas in need of attention.
Examples of such may include service or amenity related issues up to and including operational management.
IMS surveys the project and meets with both developers and borrowers looking for missed opportunities that could possibly lead to additional sources of revenue and the reduction of unwarranted expenses.
Our Due Diligence includes:
- Meeting with borrowers and developers
- Surveying the project for additional sources of revenue
- Examination and comparison of financial forecasts for their relevance and reliability
- Reviewing the underwriting and financial Analysis
- Reviewing the Property Appraisal, Estoppels, SNDAs and Closing Statements
- Reviewing the Property's Books and Records "Before Sale or investment."
IMS Works With Business to Improve Internal Controls
Ipsen Management Services Provides Consultation.
- IMS believes in stopping fraud before it starts by providing consultation regarding the improvement of your organizations' Internal Controls.
- IMS helps managers to Know the Warning Signs in Identifying Possible Fraud.
Knowing and discussing the behavioral warning signs (red flags of fraud) and necessary internal controls to combat fraud. A personal visit says a lot!
- IMS works with management to Improve Internal Controls by analyzing policies and procedures to prevent fraud within your business accompanied by written recommendations. As employees come and go, procedures can sometimes change or are no longer being followed. So the question is "What is being done right and what could be done better!"
IMS Helps Business
- Identify potential and inherent fraud risks.
- Know the behavioral warning signs.
- Evaluate whether current internal controls are operating effectively and efficiently.
- Identify and evaluate residual fraud risks resulting from ineffective or nonexistent controls.
- Determine what additional internal controls need to be a part of your organization.
Nonprofits Deserves the Best!
Ipsen Management Services and Consultation.
- IMS works with donors to ensure the nonprofit of their choice is acting responsibly by conducting a forensic examination prior to or subsequent to their donation.
- IMS helps directors of nonprofits to better identify fraudulent or suspicious activity.
- IMS works with nonprofits to Improve Internal Controls by analyzing policies and procedures to prevent fraud within the organization accompanied by written recommendations and followup visits.
Ipsen Management Services Conducts a Financial Forensic Examination to Identify Theft or Questionable Transactions
Using data analytics and forensic examination methods checking for anomalies (irregularities) and fraudulent activity such as asset theft. Items to be analyzed include; the general ledger, invoices, check writing activity, reimbursements, inventories, payroll, looking for ghost employees, discrepancies and more. Much different than a financial audit conducted by a CPA.
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