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Due Diligence

"Due diligence" is an analysis and risk assessment of an impending business transaction. It is the careful and methodological investigation of a business or persons to ensure that information is accurate and to uncover information that may affect the outcome of the transaction.

"Due diligence" is an analysis and risk assessment of an impending business transaction. It is the careful and methodological investigation of a business or persons, or the performance of an act with a certain standard of care to ensure that information is accurate and to uncover information that may affect the outcome of the transaction. It is basically a "background check" to make sure that the parties to the transaction have the required information they need, to proceed with the transaction.

Key Highlights

Thorough examination of all statutory records and filings
Identification of non-compliances and potential liabilities
Comprehensive due diligence report with risk assessment
Practical recommendations for risk mitigation

Types of Due Diligence

Business Due Diligence
Legal Due Diligence (including Secretarial due diligence)
Financial Due Diligence (including Tax due diligence)

Works in the Ambit of Scrutiny of Due Diligence

Compliance with applicable laws
Regulatory violations or disciplinary actions
Litigation and assessment of the feasibility of pursuing litigation
Financial statements
Assets – real and intellectual property, brand value etc.
Unpaid tax liens and/or judgments
Past business failures and consequential debt
Exaggerated credentials / Fraudulent claims
Misrepresentations or character issues
Reputation, goodwill and other intangible assets

Who Needs This?

Private Equity Investors
Venture Capital Funds
Companies Planning Acquisitions
Banks and Financial Institutions
Strategic Investors
Companies Planning IPO

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