Due Diligence in Russian Federation
Services Provided: Due Diligence
The Challenge
The leading Moscow based Russia Fund retained CSA to assist them in due diligence on the potential acquisition of a coffee house chain in Russia.
Our Solution
Our Approach was to determine the “scalability potential” in Russia for the restaurant concepts in their portfolio and evaluate the key obstacles that could potentially block future growth.
1 Month Project involved the following activities:
Assessment of Founder and Top Management capability and experience and the interactions between them.
Review of operating and reporting systems as well as supply chain & restaurant construction.
Review of human resources environment in terms of recruitment and legal issues.
Assess potential of new fast casual concept which was key growth driver.
Analyze synergies from recent merger.
Results
After carefully weighing all financial risks and consumer sentiment, the Fund elected not to invest in the opportunity and instead invested in a higher growth F&B business in a different segment.
If you find yourself in need of help navigating similar challenges or improving your business strategies, don't hesitate to reach out for tailored solutions and expert guidance, with the support of our Global Franchising & Licensing Services, Expertise in Hospitality Consultancy & Entertainment Retail Solutions, and more!