Due Diligence

Due diligence is a process of investigating and auditing key business information to confirm the data available to potential buyers or investors.

This process can vary substantially according to the nature of the business and the size of the company; however, basically it is concerned with financial, accounting and fiscal matters, as well as corporate legal, labor, environmental, real estate, intellectual and technological property.

It is a task whose purpose is to clearly identify assets and liabilities (accounting and legal), in a manner that provides greater security for potential buyers, shareholders or investors in future negotiations.

In the process, the specific knowledge and ethical performance of the team, with guarantee of impartiality and confidentiality, is an essential element for the success of the operation.

How it works

The role of Actual Ventures in due diligence can be at the sell side, preparing the package of documents and information – data room. Or, it can be on the buy side, auditing the package of documents and available information, investigating inconsistent information and verifying relations with public agencies.

The team, in accordance with the nature and purpose of due diligence, manages and controls the process of exchanging information between the parties.

The result of the due diligence process is usually a report that indicates the overall situation of the target company, confirms its values, and identifies contingencies.

This report will be one of the relevant parts in the preparation of final legal instruments for implementation of the transaction, as well as assist in setting final values.