What is due diligence?
It’s an audit conducted by the investor or buyer before closing a deal. The goal is to analyze all aspects of the company: financial, accounting, legal, tax, labor, and even environmental.
This is the stage where hidden liabilities, legal risks, financial inconsistencies, or management issues are uncovered.
What can happen if your company isn’t ready?
- The deal may be undervalued.
- The transaction may stall or be canceled.
- The trust built during the negotiation may be lost.
How to prepare for due diligence?
- Keep contracts organized and up to date.
- Maintain clear and auditable financial statements.
- Resolve legal or tax issues in advance.
- Structure internal processes and documentation.
3Capital is fully focused on preparing the client. We anticipate critical issues before the investor does — and that makes all the difference during negotiation. Get in touch with our team of specialists.
