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Due Diligence Inquiries

Posted by on Jun 22, 2012 in Uncategorized | Comments Off on Due Diligence Inquiries

Due Diligence Inquiries

It is imperative in this uncertain world to verify the claims made by e.g. a would be investment business partner. It is important to trace any adverse circumstances in the personal, business and reputational history of someone who may sound very convincing in his or her sales pitch to you.

Conversely, due diligence inquiries may reveal that an individual or a company or organization have

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actually been underselling their true market and brand name and integrity value, and foreknowledge of this will significantly strengthen your confidence in going ahead with the transaction. Let Rannoch Consulting & Research conduct this research.

The term “due diligence”
The term “due diligence” was coined in a provision of the 1933 Securities Act: if a stock broker had sold a particular stock and subsequently material information came to light that

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had not been disclosed to the buyers of that stock, then the

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broker’s prior due diligence efforts were a defense

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to allegations that they had failed to disclose the adverse material information. The same could be applied to any business transaction situation. Have you conducted sufficient due diligence?

Conducting due diligence
Conducting due diligence is a cost of doing business which in the long run will save an enterprise the potential for far greater costs arising from the increased risks of losses arising from not “looking before you leap.” It also raises one’s level of confidence to do business since one has a higher level of comfort. Do you feel confident?

Due diligence is not simply looking
Due diligence is

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