Financial Due Diligence
This involves a thorough examination of the financial records, statements, and performance of the target company or business. It aims to assess the financial health, profitability, and potential risks associated with the investment or transaction.
Legal Due Diligence
Legal due diligence focuses on reviewing all legal documents and contracts related to the business, including agreements, licenses, permits, intellectual property rights, litigation history, and compliance with applicable laws and regulations. The goal is to identify any potential legal issues or liabilities.
Intellectual Property Due Diligence
For businesses with significant intellectual property assets, this involves reviewing patents, trademarks, copyrights, and trade secrets to ensure they are properly protected and have clear ownership.
Asset due diligence verifies the tangible assets possessed by the target. This involves confirming the existence, value, age, quality and ownership of a company's real estate, fixed assets and inventory.