
Due Diligence Process
The due diligence process in mergers and acquisitions involves a thorough investigation of a company before a deal is finalized. Buyers assess the target company's financial health, legal status, operations, and risks to ensure they understand what they are purchasing. This includes reviewing documents, financial statements, contracts, and any potential liabilities. The goal is to identify any issues or red flags that could affect the value or viability of the deal. A successful due diligence process helps buyers make informed decisions and negotiate appropriate terms.