Due Diligence
Due Diligence is a structured, comprehensive appraisal process undertaken by potential investors, acquirers, or lenders to assess the financial, legal, operational, and commercial health of a business before a transaction.
It typically covers areas such as:
Financial statements and forecasts
Corporate governance and legal structure
Intellectual property and technology
Market position and competition
Customer and supplier contracts
Compliance and regulatory risks
Due diligence ensures informed decision-making, uncovers potential liabilities, and influences deal terms and pricing. It’s a standard practice in venture capital, private equity, M&A transactions, and public market listings.