What’s involved in due diligence?
The buyer would be expected to undertake commercial, legal and financial due diligence on the seller. This is usually carried out once Heads of Terms have been agreed and will include a review of the client, sub-contractor and employee contracts, articles of associatioin and ownership, as well as a review of the your systems, processes and client work carried out in recent years. The due diligence process is a critical process. If issues that should have been identified at an earlier stage unravel themselves this can cause delay or worse, cause the deal to fall through. So it is important for the information that will be required for due diligence is prepared in advance.