DUE DILIGENCE

In simple words, Due diligence is a process of collecting and verifying the facts of a business, transaction or process. 

Due Diligence Services

In simple words, Due diligence is a process of collecting and verifying the facts of a business, transaction or process.  If you are buying a business, reviewing your supplier, entering in to a joing venture or simply investing in a business as a shareholder or a partner, you need to verify the facts you are presented.

If you are buying or investing in a business, you will be given Accounts, company brochure and other documents showing that their business is very good. How do you confirm the real facts? You need to make sure your investment is secure and likely to grow.

These are the scenario where you should consider conducting Due Diligence process:

Purchasing a new property

Purchasing equipment

Purchasing a business

Investing in a business

Integrating / Joint venture with another business

Joining a partnership

The Due diligence process when buying a business will examine following areas:

Accounts of the business

Business plan and future strategy

Potential for business growth

Contracts with customers

Contracts with suppliers

Warranties

Employee contracts

Legal compliances

Business Valuation

Return on investment

Pay-back period

Other relevant business facts e.g. future growth, innovation, market position etc.

Types of Due Diligence:

Financial

Legal

Business / Commercial

Operational

Environmental

Strategic

Generally, it involves researching various areas to evaluate and verify facts and assumption. Finally, it is presented as a report.

At Sterling Finance, we conduct the Due diligence for entrepreneurs to provide them with the independent evaluation in order to make informed decision about their investment.