Due Diligence Service
Our due diligence service includes a meticulous and strenuous process to investigate, review and analyse information and facts surrounding the target of a transaction, be it a take-over, or in the case of merger and acquisition. We are devoted to this process of obtaining and analysing data that will allow us to advise our clients on how to proceed and come to a healthy conclusion.
Financial due diligence, by its name, means due diligence that focuses on the business and its financial performance, financial risks and liabilities. Findings from a financial due diligence exercise may potentially be the deal breaker for a transaction.
Financial Due Diligence vs Audit
In a transaction, a buyer should not just rely on the audited financial statements of the subject company to make the “go-ahead” decision. There is nothing wrong to place reliance on audited financial statements. However, the audited financial statements may not tell everything a buyer wants to know or he may not even know. In fact, audit and financial due diligence are two different activities. Audit, in general, is to determine whether the financial statements are prepared and presented correctly, in accordance with the accounting standards. Financial due diligence is performed to assess the financial position and if needed, dig further to discover possible risks, or obtain the reasons behind certain areas that requires more details for consideration.