Model Validation

You're about to commit eight figures on a spreadsheet. Make sure it works.

Deal models accumulate risk quietly: a hard-coded cell from a prior draft, a debt schedule that stops flexing in the downside case, a waterfall that pays the wrong tranche first. None of it is visible in a board-ready output page, and most of it survives partner review, because partner review reads the outputs, not the formulas.

Verified Metrics validates the model itself. We independently recompute the entire workbook, every cell in every scenario, and reconcile our results against the model's. Anything that doesn't match gets explained or fixed. Then we review the assumptions against your diligence findings, so the model isn't just mechanically correct but defensibly built.

We built this practice on our own tooling: the same engine validates the models behind our valuation work, position by position, every quarter.

Why Verified Metrics

• Recomputed, not eyeballed. Full independent recalculation of the workbook, reconciled output by output. Review by inspection misses what recomputation can't.
• Returns math verified. IRR, MOIC, waterfalls, and debt schedules checked against an independent build. These are the numbers your IC decision actually rests on.
• Findings ranked by money. Issues are reported by their impact on returns, not as an undifferentiated list of 400 formatting notes.
• Fixed, not just flagged. You get a corrected model and a change log, not a memo describing your problems.

What this covers

• Structural review: hidden and external links, hard-codes, circularities, broken ranges, version artifacts
• Full recalculation of all formulas and scenarios, reconciled against model outputs
• Scenario and sensitivity integrity: downside cases verified to flow through revenue, debt, and covenants
• Debt schedules, cash sweeps, and covenant calculations checked independently
• Returns verification: IRR, MOIC, and distribution waterfalls rebuilt and matched
• Assumption review against diligence findings and market evidence
• Documentation so the next analyst can maintain the model without breaking it

How an engagement runs

• Send the model under NDA; we scope it promptly
• Validation runs to a scoped timeline, depending on workbook complexity
• Findings call walks through issues in order of impact on returns
• Corrected model and change log delivered before your IC date

What you receive

• A findings report ranked by impact on returns
• The corrected model with a complete change log
• A sensitivity map: which assumptions actually move the outcome
• Re-validation of the final version before signing, included