Assess whether working capital should be a walk-away (7d064c)

SITUATION Integration-risk PMO in a PE platform evaluating a founder-led SaaS add-on has one working extract — environmental known-condition schedule — after a customer who just sent a non-renewal. If environmental known-condition schedule cannot support working capital should be, the only defensible M&A Due Diligence output is hold.

DECISION Integration-risk PMO in a PE platform evaluating a founder-led SaaS add-on must choose Proceed / Reprice / Walk / Hold using environmental known-condition schedule after a customer who just sent a non-renewal.

HYPOTHESES TO TEST 1. Environmental known-condition schedule reads as Proceed once a customer who just sent a non-renewal is lined up to the same M&A Due Diligence population. 2. Environmental known-condition schedule is closer to Reprice after a customer who just sent a non-renewal; Proceed would over-claim this People and Contracts extract. 3. Walk is still live in environmental known-condition schedule for integration-risk PMO in a PE platform evaluating a founder-led SaaS add-on. 4. Environmental known-condition schedule is missing the fact integration-risk PMO needs after a customer who just sent a non-renewal; stop this M&A Due Diligence close.

ANALYSIS REQUIRED 1. Name the document integration-risk PMO still needs before signing. 2. Test whether a customer who just sent a non-renewal is a diligence gap, a price chip, or a walk-away. 3. Separate a one-off add-back from a recurring earnings issue in environmental known-condition schedule. 4. For this M&A Due Diligence People and Contracts file, read environmental known-condition schedule against a customer who just sent a non-renewal and write the one fact that would move working capital should be for integration-risk PMO.

RECOMMENDATION Choose Proceed / Reprice / Walk / Hold on this M&A Due Diligence / People and Contracts packet (environmental known-condition schedule after a customer who just sent a non-renewal). The follow-on People and Contracts action is what integration-risk PMO does next: implement the option, assign an owner, and log the missing fact.

COMMAND RETURNS - Bottom-line M&A Due Diligence option on working capital should be, then the evidence in environmental known-condition schedule, then the action for integration-risk PMO - Hypothesis scorecard against environmental known-condition schedule: supported / rejected / untestable - Regulatory or exam hook People and Contracts would cite - People and Contracts finding in environmental known-condition schedule that a second reviewer can re-perform