For startups and high-growth companies, preparing for an investment round is both exciting and stressful. Investors want more than a promising business model—they demand clean, reliable financials that comply with accounting standards.

A Delhi-based media aggregator recently faced this exact challenge. Their business had strong traction, but their books were disorganized, and revenue recognition was inconsistent. This raised red flags during early investor conversations.

Here’s how we helped them transform their financial reporting and secure funding smoothly.

How a Delhi Media Aggregator Became Investor-Ready with Financial Due Diligence

The Challenge: Disorganized Books & Revenue Gaps

Like many fast-scaling startups, the company had been focused on growth and operations. Finance took a back seat, leading to:

• Disorganized books → entries scattered across systems, with incomplete reconciliations.
  
• Inconsistent revenue recognition → subscription and ad revenues weren’t aligned with Ind-AS (Indian Accounting Standards).
  
• Limited visibility → management reports didn’t reflect the true financial position, making investor due diligence risky.
  

Without a cleanup, the risk of delayed or failed funding was high.

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The Solution: Financial Due Diligence + Ind-AS Adjustments

Our approach was structured in three phases:

1. Comprehensive Review
   
   • Conducted a full financial due diligence exercise.
     
   • Identified inconsistencies in revenue recognition, expense categorization, and asset treatment.
     
2. Adjustments Under Ind-AS
   
   • Reworked revenue recognition policies in line with Ind-AS 115 (Revenue from Contracts with Customers).
     
   • Standardized expense allocation and depreciation schedules.
     
   • Corrected prior-period misclassifications to present a true financial picture.
     
3. Investor-Ready Reporting
   
   • Prepared clean, audited financial statements.
     
   • Built management reports highlighting growth, margins, and unit economics investors care about.

The Impact: Clean Books, Transparent Numbers

The transformation delivered immediate credibility:

• Clean, reconciled books gave management and investors confidence.
  
• Standardized revenue recognition aligned with Ind-AS built trust in reported numbers.
  
• Investor-focused reporting highlighted growth metrics, removing ambiguity.
  

Instead of chasing explanations, the company could present a clear financial story.

The Result: Smooth Fundraising 🚀

With clean financials, the Delhi media aggregator:

• Passed investor due diligence without delays.
  
• Secured their funding round smoothly.
  
• Freed management bandwidth to focus on scaling operations, not fixing books.
  

The difference was clear—financial discipline turned from a bottleneck into a growth enabler.

Key Takeaway

For growth-stage startups, financial due diligence isn’t just compliance—it’s a strategic necessity. Disorganized books and inconsistent recognition can derail funding conversations, while clean, Ind-AS compliant reporting accelerates them.

If your business is preparing for investment, don’t wait until due diligence begins. Start today with a financial health check and ensure your books tell the right story to investors. Get in touch with Pitchers Global today!