What is Due Diligence?

Doing business, whether as an owner, a colleague, or a customer, is a complex operation and requires careful consideration of what may seem like endless options. When a business is making a major decision, and it has shareholders, partners, co-owners, and other parties with an interest in ownership, that business has an obligation to make decisions that are in the best interests of the owners.

Part of making a quality decision is often conducting due diligence, which can be a complex process involving many investigations and assessments to ensure the right decision is made. While due diligence is most common in mergers and acquisitions, it can apply in other business scenarios, as well. Reach out to a Marietta business transactions lawyer at Battleson Law for assistance with due diligence today.

Due Diligence and Exercising Reasonable Care and Caution

Business functions to generate a profit, and investments are made to likewise generate a return on the investment. When a company is considering an acquisition, merger, entering into a new market, or partnering with a new entity, it is important to invest the time to conduct due diligence.

Due diligence involves a thorough investigation into the many possible implications of the potential business opportunity. This can include assessing:

  • Financial conditions, assets, and projections
  • Contracts and transactions of the target company
  • Debts or legal matters
  • Overall culture and employment

When due diligence is not properly conducted, it can lead to poor decisions and significant losses. Always have professional help when entering into the due diligence phase of a business transaction.

Speak with a Marietta Business Transactions Attorney Today

If your business needs to conduct due diligence, you never want to skip a step or miss anything. One of the experienced Marietta business transactions lawyers from Battleson Law is here to advise you on what your options are, so schedule a consultation to discuss your situation today.

Scroll to Top