When is the best time to get a property tax due diligence analysis of your business or building acquisition? Short answer – long before you close. What you don’t know about property tax can hurt you and your cash flow.
Due diligence helps map out the future of your cash flow before the acquisition of a company or a property. Most buyers will not invest the time or money for a property tax due diligence study on the impact of the proposed transaction on their property taxes, both real estate and business personal property.
Knowing that property taxes equate up to 40% or more of your local and state taxes, wouldn’t you want to know that your property tax projections after the acquisition is completed are accurate?