“A Spoonful of Sugar” for Corporate Due Diligence Investigations
According to the Merriam-Webster dictionary, one definition of “due diligence” is: [r]esearch and analysis of a company or organization done in preparation for a business transaction (as a corporate merger or purchase of securities).
Why is a corporate due diligence investigation important?
Think of it this way: if you were searching for a nanny to care for your child, would you look at the resume and hire him/her on the spot? Of course not. The person caring for your child must be nothing short of Mary Poppins! At the very least, you would hire a professional to conduct a background check and call references.
For business owners, board members, and executives, the same scrutiny applies when they are considering a merger or acquisition involving their corporate baby. Sure, professionals such as lawyers, accountants, bankers, and insurance underwriters are involved to help guide the transaction. But what do you know about the corporate reputation of the other party? What do you know about the people to whom you may be entrusting your company or making a substantial investment? Are there issues with customers? Employees? Has the other party been sued? How often and what were the causes of action?
These are only a few of the questions that can be answered by a thorough due diligence investigation. Our approach involves collecting public data from a variety of sources and analyzing it for potential issues that the decision makers may need to make an informed financial decision. We compare the information gathered in the course of the investigation with disclosures made by the other party to identify potential inconsistencies.
Our research includes, but is not limited to, identifying the following:
- Federal and state litigation
- Financial records such as bankruptcy, UCC filings, and tax liens
- Intellectual property registrations
- Property ownership
- Social media
In the film, Mary Poppins, the actress, Julie Andrews, who portrayed the famous nanny, sang about how “a spoonful of sugar helps the medicine go down.” Workplace FactFinders is the sugar to help you navigate complex transactions.
Please note that due diligence investigations are subject to government regulation. Just as you would not hire an unlicensed practitioner to investigate your nanny candidates, the same applies to corporate due diligence investigations. Workplace FactFinders is a licensed private investigation firm that provides information to assist companies and law firms in making educated decisions related to business transactions. For more information, please contact Stephanie Woodhead at (844) 321-9733, Ext 701.
12407 N Mopac Expy | Ste 250-514 | Austin, TX 78758 | 844-321-9733 | www.workplacefactfinders.com