What is Due Diligence?

By Hoke - Last updated: Monday, September 3, 2012 - Save & Share - Leave a Comment

Due Diligence part of the sale process when the seller opens all aspects of the business to the buyer. In essence this is where the seller must convince the buyer that the business performs and is as represented. This convincing is done mostly via providing historical documentation and buyer observation. The buyer has an opportunity to actually review the financial statements, ledgers, bank statements, leases, invoices or whatever else they require to be comfortable the business is as represented. Upon completion of Due Diligence, the buyer should be satisfied the business is as represented.

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Posted in Due Diligence, Due Diligence, Financial Documentation, Improving Business Desirablilty, Pricing the Business • • Top Of Page

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