To do with ease, we must first learn to do with diligence.
- 1 hr1 hour
- Zoom Session
Due diligence is the process of investigation and the exercising or cares that a business or person is usually expected to take before entering into an agreement with another party. This is generally voluntary and is done to make an informed decision and to ensure a certain level of safety. Due diligence takes on different forms depending on its purpose. These forms include: * The examination of a potential firm for a merger, an acquisition, privatization, or a similar corporate transaction. This is normally done by the buyer. * An investigation focusing on material future matters * An examination that asks certain key questions, like how to perform a purchase, how to structure an acquisition, or how much to pay for a transaction * An investigation of current practices, processes, and policies * An examination aimed at making an acquisition decision based on the principles of valuation and shareholder value analysis The due diligence process (framework) can be divided into nine distinct areas: 1.Compatibility audit 2.Financial audit 3.Macro-environment audit 4.Legal/environmental audit 5.Marketing audit 6.Production audit 7.Management audit 8.Information systems audit 9.Reconciliation audit