Financial Due Diligence

AR Aging

A report that shows how long customer invoices have been unpaid. Why it matters: This gives owners a clearer way to understand buyer questions, advisor comments, and negotiation tradeoffs during a sale process.

Related terms

Advisor

A professional who helps with the sale, such as a broker, M&A advisor, CPA, attorney, or investment banker. Why it matters: The right advisor can help prepare materials, explain tradeoffs, manage buyers, reduce surprises, and keep the owner from negotiating complex deal terms alone.

Buyer

The person, company, investor, or fund trying to buy the business. Why it matters: Different buyers value different things, so knowing the buyer type helps an owner understand likely questions, risks, financing needs, and negotiation style.

More from Financial Due Diligence

Accounts Payable Accounts Receivable Accrual Accounting AP Aging Balance Sheet Bank Reconciliation Budget Cash Flow Statement Cash-Basis Accounting Chart of Accounts Customer Deposits Deferred Revenue

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