Due diligence is meant by varied meanings ranging from signing a contract, standard and guidelines of business trading or sometimes it also defined by an investigation of a business. Due diligence is mostly taken during the phrase of voluntary investigations where it set as a legal obligation. If we talk about corporate world, then merger and acquisition is one of the most specific examples of legal and finance due diligence where the numbers of investigations and exploring have been made to explore the varied sectors of companies in respect of assets and liabilities.
Finance due diligence is depicted to a term used to investigate the business in respect of financial transactions that include credit reports, debts, assets, accounts payable and receivable, company's financial statements, overhead costs and many more. Finance due diligence is basically carried out to analyze and research the performance of the businesses at the domestic and international level. The size of finance due diligence is depend upon the sphere of financial transaction of the respective company. Whereas on other hand legal due diligence is another concept of investigation where the examination has been made in respect of legal compatibilities followed by the respective company. Here the investigators go through all the legal papers and legal books of the company to search to what extent company followed the corporate legal acts. Under legal due diligence the research has been made to check the IPR status and other business legal status of the company.
There is a long checklist under legal and finance due diligence including finance books, profit and loss record sheets, liabilities records, debt records, debt list and many more. Whereas under legal due diligence legal formalities will include in checklist. Here at company-registration-india, we bring you with complete services in legal & financial due diligence checklist that has been carried out by legal and finance experts.