Commercial Due Diligence
Decision basis in the transaction process
When Commercial Due Diligence is advisableCommercial Due Diligence (CDD) is the cornerstone of company due diligence before and during a transaction. We focus on the factors that truly influence the investment decision, so you and your financing partners can decide quickly, independently, and on a sound basis. A short-notice start and tight deadlines are a given. Our services include:
- Quick Check for an initial assessment
- red flag analysis of the critical issues
- Full CDD with a bankable report
- Support in every phase of the due diligence process
- Close coordination with you and the other due diligence teams
Are you planning your next investment?
We uncover the opportunities and risks of your investment—at short notice, fact-based, and bankable.
Our Commercial Due Diligence expertsGet to know us
Over 800 projects, including more than 450 transaction-related engagements: Our consultants and industry insider assess companies and markets with precision—even under time pressure.
Dr. Rainer Mayer
In his more than 30 years as a consultant, he has seen countless companies and led many projects to success.
Bertram Stähler
He has been a consultant for over 20 years, having supported and led numerous analysis, strategy, and M&A projects.
Ümit Esrefoglu
His focus is on CDD and growth strategies for Private Equity investors and their portfolio companies.
Frequently asked questions about Commercial Due Diligence
Our integrated approach combines commercial reviews—strategy, market, competition, customers—with financial analyses. We provide market information that is not accessible to everyone, giving you a fact-based, independent perspective. In opaque niche markets—our specialty—we model the market ourselves, among other things based on various sources and many discussions with market participants. This is what our CDDs deliver:
- Differentiated review of the target company’s business model for sustainability (strategic, organizational, and in part operational)
- Thorough and careful assessment of market prospects
- Analysis of industry structure and competitive position
- The company’s relationships with its key customers and suppliers
- Assessment of macroeconomic influences and the regulatory environment
- Verification of planning assumptions from a market perspective and assessment: Are the forecast results achievable?
Business model, market prospects, competitive position, customer and supplier relationships, as well as macroeconomic and regulatory influences. The process concludes with verification of planning assumptions from a market perspective.
That depends on the phase and the question at hand. We support every phase—from the Quick Check to the bankable CDD report, even with a very short-notice start.
Usually in the range of €30–500 million enterprise value. Our reports are fully bankable, evidenced by many transactions we have supported.
We model the relevant market ourselves—using various sources, structured customer surveys, and exploratory discussions with industry insiders, associations, and competitors.
Current performance figures are less reliable, so we run scenarios and normalise the crisis effect. We replace studies from before the crisis with our own market model and broad market sounding.
Some industries benefit from crises. Whether this is sustainable can be determined—without a crystal ball. At the same time, investors and financiers scrutinize more strictly, and a CDD becomes necessary where one may not have been required before a crisis.
- Scenarios instead of a snapshot
Current performance figures are often only reliable to a limited extent. That is why we validate business plans using scenarios and determine the right baseline for realistic market development. - Market modelling instead of standard studies
Studies from before a crisis often no longer provide reliable forecasts. In Commercial Due Diligence, we analyse and model the relevant market individually. - Market sounding for robust assessments
Especially in niche markets, we supplement data with structured surveys and interviews with customers, industry insiders, associations, or competitors.
In addition, we review digital capabilities, the customer base with customer lifetime value and cohort KPIs, online marketing, and shop KPIs such as traffic sources and conversion rates. We assess omnichannel across digital and physical retail together.
From day one of e-commerce, we have assessed business models in distance selling—from B2C and D2C to marketplaces and platforms. Omnichannel concepts in particular require an analysis that combines both digital and conventional aspects. What you can expect from us in a CDD for digital business models:
- Digital capabilities, trends, and best practices
- Opportunities and risks of digitalisation for the business model
- Customer base: customer lifetime value, cohort KPIs, CRM, and much more
- Online marketing and performance metrics: SEO/SEA, spend, social media, visibility, performance measurement, etc.
- Shop KPIs: customer journey, traffic sources, visits, conversion rates, usability
- Review of the omnichannel concept
Case Studies
Initial Situation
A private equity firm focusing on mid-sized growth companies is considering a minority stake in a specialized German manufacturer of frozen pork products
Task
Commercial Due Diligence on the target company and market environment, based on maconda’s long-standing experience in the food sector
maconda Contribution
- Assessment of the future significance of pork vis-à-vis trends such as declining meat consumption and increasing health awareness
- Development of the out-of-home market by segment (quick-service restaurants, etc.)
- Detailed analysis of the supply chain; review of the supplier base; analysis of pricing
- Evaluation of the target company’s pricing strategy and flexibility regarding necessary price adjustments
- Analysis of the customer base and identification of relevant purchasing criteria; presentation of fundamental differences between food retail and food service customers
- Execution and evaluation of over 30 shelf checks with detailed product and price surveys and a variety of structured and exploratory market interviews
- Assessment of growth options, including the expansion of sales activities via new customers at home and abroad, and concrete proposals for a targeted expansion of the product range
Initial Situation
A globally operating German manufacturer of heating and cooling systems is planning a strategic investment in an established and innovative provider of heat distribution systems for residential and commercial properties.
Task
Detailed Commercial Due Diligence on the company and market environment.
maconda Contribution
- Assessment of the future viability of distribution systems capable of efficiently controlling entire heating networks
- Identification of synergy potential between investor and target company and development of concepts for strategic positioning
- Structured survey of over 100 heating contractors as well as numerous exploratory discussions with market participants and experts
- Analysis of key selection criteria for a provider and their fulfillment by the company
- Assessment of relationships with the most important stakeholders, e.g., planners, heating contractors, etc., as well as strengths and weaknesses analysis in the contract award process
- Analysis of the company’s positioning in a fragmented and regionally characterized market environment
- Development of a detailed market model for a market barely covered by studies and other data
Initial Situation
An internationally operating financial investor plans the acquisition of a leading German manufacturer of stationary woodworking machinery with an international presence and brand recognition.
Task
Assessment of the company as part of a Commercial Due Diligence, preparation of a bankable CDD report for the investment decision.
maconda Contribution
- Evaluation of investment readiness, usage behavior, replacement cycles, and machine requirements of the heterogeneous target group
- Analysis of relevant market drivers and trends, e.g., Industry 4.0 and CNC machining centers
- Collection of macroeconomic factors and qualitative market information based on a variety of expert interviews
- Modeling of an uncovered niche market in numerous international markets and validation with management and industry experts
- Evaluation and prioritization of attractive growth markets in Europe, America, and Asia
- Development of opportunities for diversifying the product and service portfolio, conceptualization of a future-proof product program through several workshops with management
Initial Situation
Private equity firm considers acquiring a majority stake in one of Germany’s largest and most innovative optician chains, with international growth potential.
Task
Comprehensive Commercial Due Diligence and preparation of a robust, bankable CDD report.
maconda Contribution
- Assessment of the store concept in terms of operating model, location type and city size, also based on enrichment with macro- and micro-geographic data such as centrality.
- Comprehensive store network analysis with the relevant KPIs (sales per square metre, conversion, repeat customers, etc.).
- Identification of drivers and levers for store performance, like-for-like and ramp-up analysis.
- Evaluation of the staffing structure, in particular qualifications, compensation and attrition.
- Comprehensive market and competitive analysis; analysis of relevant and potential customer segments.
- Assessment of growth opportunities domestically and internationally, including suitable locations, white spots and pipeline.
Initial Situation
German financial investor focusing on mid-sized companies is considering an investment in an established manufacturer of premium private label dog and cat food
Task
Commercial Due Diligence with comprehensive analysis of a less transparent niche market
maconda Contribution
- Comprehensive overview of various pet food types, uses, and forms of administration; analysis of the different distribution channels
- Modeling the size and structure of the relevant market segment, including numerous market interviews, trade fair visits, visits to specialist retailers, and intensive supplier screening
- Comparative analysis of different competitive constellations; evaluation of the target company’s strategic positioning within the diverse supplier landscape
- Detailed evaluation of the complete supply chain – from recipe development, manufacturing concept, sourcing, etc., to the finished product
- Comprehensive customer analysis, especially profiling of key customers, evaluation of customer relationships, and resulting opportunities and risks
- Simulation of a stress test to illustrate the impact of hypothetical risks on top-line development and profitability within the planning horizon
Initial Situation
German investment company focusing on software companies plans a majority stake in a leading software provider for temporary employment agencies and building cleaning companies in Germany with a very high level of brand recognition.
Task
Comprehensive Commercial Due Diligence on the target company and the two niche markets served.
maconda Contribution
- Detailed analysis of the revenue development of individual software products, as well as the development of license, maintenance, and SaaS revenues to identify growth drivers.
- Assessment of the two target markets, temporary employment and building cleaning, outlining key drivers including legislation, economic development, and skilled labor shortages.
- Modeling and forecasting of the market volume for software in both markets for a 6-year period.
- Conducting a structured survey among (potential) customers, validating assumptions in the market model such as ERP software coverage by company size.
- Detailed analysis of the competitive landscape and the company’s positioning.
- Execution of a growth workshop with management to identify growth paths beyond the business plan and prioritize them.
Initial Situation
An Austrian family office is considering a majority stake in a mid-sized manufacturer of dietary supplements and functional foods for international markets under its own brand as well as private label.
Task
Comprehensive Commercial Due Diligence of the target company and market environment to assess the multifaceted business model with different product focuses by region.
maconda Contribution
- Targeted prioritisation of the most relevant product/market combinations, followed by analysis of the product ranges in the associated sales channels.
- Detailed review of the German core market for dietary supplements; in-depth profiling of the largest customers and their behaviour.
- Concise analyses of various other markets in Western Europe, Asia, the Middle East, etc.
- Assessment of the most important customers and distributors; customer interviews in Europe, Asia and Africa.
- Conducting more than 30 structured store and shelf checks in drugstores, food retail and pharmacies.
- Assessment of the competitiveness of the production facilities, any capex requirements, and quality management.
- Assessment of the competitive landscape within the sales channels; identification of key competitive advantages versus contract manufacturers and brand suppliers.
Initial Situation
German investment company considers a majority stake in a B2B mail-order retailer of medical and nursing workwear
Task
Assessment of the target company and the relevant niche market by means of a very comprehensive Commercial Due Diligence and preparation of a bankable report
maconda Contribution
- Definition and classification of the served niche market as well as macro drivers
- Assessment of the product range, including structure and NOS concept
- Comparative analysis of various competitive constellations and business models (specialists, multi-professional group providers, rental clothing), differentiation features
- Characterization and quantification of the primary target group
- Analysis of customer cohorts and their KPIs, development of starting points for increased penetration of the target group
- Analysis of the potential for new business through increased internationalization
- Assessment of the conceptual CRM system (activation model, impulse control, order generation) and measures for customer approach and retention
Initial Situation
A financial investor, specializing in investments in high-growth companies, is considering an investment in a pan-European e-commerce platform with various online shops, each offering a product range tailored to different target groups.
Task
Assessment of the target company and relevant markets through comprehensive Commercial Due Diligence.
maconda Contribution
- Detailed analysis of the relevant bicycle and outdoor markets, assessment of further growth opportunities for online retail in consulting-intensive products.
- Assessment of the competitive landscape consisting of brick-and-mortar retailers, online pure-players, and non-industry providers; strategic positioning of the company.
- Evaluation of market development and potential in key international markets, interviews with relevant market participants and experts.
- Assessment of customer structure and cohorts, ordering behavior of existing and new customers, investigation of customer retention opportunities.
- Evaluation of the planned strong growth and the underlying assumptions, modeling of growth scenarios based on numerous interviews with market experts domestically and abroad.
Initial Situation
An OTC oral hygiene provider belonging to an international financial investor is considering an investment in an emerging e-commerce provider of vegan protein and superfood powders.
Task
Analysis of the niche markets served in Germany and other countries by means of a Market Due Diligence.
maconda Contribution
- Positioning of the served niches within the surrounding large markets for sports nutrition and dietary supplements
- Identification of the characteristics of the online, lifestyle, and fitness-affine target group, e.g., proportion of the population, eating habits, demand patterns, willingness to pay
- Execution of shelf checks, structured comparisons of online offerings, and exploratory market interviews in the relevant countries
- Assessment of the various product groups and respective sales channels, e.g., Amazon, online pure players, drugstores, etc.
- Positioning of the company within the competitive environment
- Development of a market model for demand forecasting, and based on this, comparison of the attractiveness of foreign markets
Initial Situation
A German private equity firm is considering an investment in a leading e-commerce wine shop with a very large brand assortment, an extensive catalog, and several proprietary retail stores.
Task
Commercial Due Diligence focusing on the analysis of diverse sales channels and their interplay, customer base and its sustainability, and the supply chain with a view to the major country of origin, Spain.
maconda Contribution
- Profiling of the various sales channels; analysis of interactions between brick-and-mortar and online business.
- Detailed analysis of the competitive landscape; identification of differentiation measures.
- Evaluation of the e-commerce concept; assessment of the online marketing strategy and user experience; development of a catalog with assortment- and marketing-related recommendations for increasing sales.
- Comprehensive location analysis; enrichment of store performance data with external micro-geographical data of the respective locations and cross-validation with online customers.
- Analysis of the procurement situation; insights into relevant wine-growing regions, price development, main suppliers.
- Comprehensive customer analysis; evaluation of customer structure and development, ordering behavior by customer cluster, customer cohorts, new customer acquisition, etc.
- Assessment of the CRM system regarding impulse control, churn management, data mining, customer retention measures, etc.