In the case of mergers and acquisitions of companies, the biding part needs to know in detailed situation of the company to be acquired. The basic function of the purchasing audit or “due-diligence” is to value the assets and liabilities of the targeted company, investigating the significative aspects of its past, present and predictable future (Cash Flow Projection).
The “due-diligence” is going to allow the company to evaluate its assets and liabilities, know its legal aspects like contracts and shareholders’ agreements, its observance of the legistation in force, registered trademarks, intangible assets, determine the existence of hidden business risks, current and potential legal actions and determine the existence of hidden liabilities, real or potential.
As a consequence of the execution of our services, it is possible to obtain a report with our comments and observations that will serve as a base for the negotiation of the final agreement in matters like potential contingent risks, warranty clauses,…
- Financial audit of the companies to be acquired.
- Tax audit.
- Determination of possible hidden risks.
