When acquiring a company you want to incur as little risk as possible. A due diligence investigation is therefore often conducted. A due diligence investigation is conducted to ascertain the accuracy of the information. It also includes an assessment of the risks and opportunities associated with the target company.
Due diligence is commonly referred to as an examination of the books, but in practice it is much more comprehensive. A due diligence investigation involves not only close scrutiny of the financial past of the potential acquisition candidate or cooperation partner but also an analysis of tax and personal aspects.
The results of a due diligence investigation are also valuable during the course of a merger or acquisition. The results give a clearer picture of the risks, the value of the company, the organizational structure and the possible financing of the transaction.
If you want to sell your company, you can conduct a Vendor Due Diligence (VDD) before the sale process. This examines various aspects. A Vendor Due Diligence is efficient and has the advantage for the vendor that a prospective purchaser does not have to be granted exclusivity.
Two acquisitions or valuations can never be the same. Every due diligence process is unique and conducted in a different way. We will agree a suitable approach in consultation with you.