BackgroundA multi-location, dental services organization engages Paradigm pre-transaction after a referral from the buy-side diligence firm. A financial sponsor planned to acquire a controlling interest in the Company, however, buy-side diligence identifies several material issues during the pre-close period. These issues were material and would prevent a transaction closing if unaddressed. Paradigm is engaged by the Company pre-close and ultimately retained by the Company post-close for First 100 Day services.
- Remediated multiple billing system and accounting deficiencies
- Process for revenue recognition and accrual-based financial reporting
- Integration of two add-on practice acquisitions acquired prior to closing
- Closing balance sheets and closing statement schedules
- Opening balance sheet model and supporting schedules
- Designed and implemented a standard chart of accounts for all entities to support consistent financial reporting
- Designed bank and sponsor financial reporting packages
Addressed finance and operational issues that negatively impacted revenue, earnings, and collections. The transaction moved forward to a successful closing and Paradigm’s assistance both during the pre- and post-close periods enabled management and the financial sponsor to put more focus on strategic initiatives and worry less about the tactical execution of work streams required to support managing a leveraged business with more robust financial reporting requirements.