IDEATION ADVISORY'S
DUE DILIGENCE
Due Diligence is a process to assess and examine any opportunity in any commercial transaction involving a target party.
The possible commercial transactions may be related to investments, mergers and acquisition including takeovers, joint ventures, transfer of shares, long term leases of commercial properties, etc. The scope of due diligence is being decided on the basis of the transaction size and the possible risks surrounding it. It is impossible to claim knowing everything about a business. But one should do sufficient examination and verification for lowering the risks and concluding a transaction in the correct legal framework.
DUE DILIGENCE SCOPE
- Business overview of the target company
- Constitutional Document And Corporate Records
- Share Capital- Clear titles of shares to be acquired
- Details of Directors, auditors , bankers and Shareholders
- Corporate Governance
- Agreement and Contracts
- Licenses and Approvals
- Properties- Owned & Leased
- Financial and Taxation records
- Loans and Borrowing and Guarantees , if applicable
- Investments
- Intellectual Properties
- Litigations
- Employees and Personnel
- Insurance Coverage, if applicable
- Miscellaneous
DUE DILIGENCE PROCESS
Kick-off Meeting with Client
Drawing scope and objective and determining Timeliness
Signing -off Mandate
Fieldwork
Sharing of Preliminary Report to Client for their Review and Comment
Discussion and Submission of Final Report to Client