VAERG | Commercial truth for capital decisions

Commercial truth for capital decisions.

VAERG delivers independent, IC-grade analysis of pricing, margins, and value risk. The work is designed for transactions and board-level decisions where assumptions carry material downside.

VAERG is used primarily by private equity firms to test commercial cases before capital is committed, and in selected situations by operating companies ahead of valuation-critical events.

What VAERG does.

VAERG provides a structured commercial decision layer across the investment lifecycle. Outputs are produced in fixed sections and built to withstand Investment Committee scrutiny. The analysis isolates what is defensible, what is conditional, and what is illusion, without drifting into execution planning or management advice.

1. Commercial due diligence. (3-5 days)

Pre-LOI analysis designed to support valuation calibration and decision gating under incomplete information. The objective is to define the credible value envelope and identify where the case breaks if pushed.

2. Commercial value audit. (5-10 days)

Confirmatory analysis once full data access is available. The audit reconstructs commercial reality from observed behaviour and quantifies where value and risk actually sit across pricing structures, customers, and products. The output is diagnostic and non-instructional, designed to replace narratives with evidence..

Harmonisation as a value driver.

Harmonisation is treated as a commercial truth test, not a blanket initiative. The purpose is not to make all customers equal, but to make differences explicit, justified, and governable. Where structures are incoherent, margin becomes fragile and value creation becomes aspirational.

Commercial truth at transaction level.

VAERG analyses transaction-level behaviour to reveal how margin is created and where it quietly leaks. For investors, this makes pricing quality and downside risk visible before the deal is locked. For operators, it clarifies where value is structurally addressable and where it is blocked by contracts, behaviour, or execution reality.

One engine. Two deliverables.

VAERG is delivered through two distinct outputs. Commercial Due Diligence is used before LOI when data is limited and narrative is strong. Commercial Value Audit is used once evidence becomes available and the economic truth must be confirmed. The same doctrine applies in both cases. Defensible base case. Conditional upside. Clear breakpoints.

Why it matters.

Capital decisions rarely fail due to lack of data. They fail because weak assumptions are allowed to pass as truth. VAERG exists to prevent that. When pricing quality, margin structure, and revenue durability are understood early, valuation discipline improves and bad cases die faster.

From truth to action, selectively.

VAERG is not an implementation firm. In selected operating company engagements, execution support can be provided as a separate mandate when boards or owners require measured value capture. The analysis always remains the same. Independent. Evidentiary. Non-excusable.