Due Diligence

Whether you are dealing with a takeover or you are looking for a new business partner like a supplier: Only full knowledge of the actual financial and other background of a company and its officers can protect you from bad surprises.

The due diligence of balance sheets as it is usually performed by auditors and tax consultants often needs to be enriched by additional research. This is especially the case when you have new business partners abroad.

Background research

The following questions need to be answered:

• Are there personal ties between the company and its alleged customers?
• Are revenues shown in the financial statements real or fictitious?
• How is the company's reputation among its competitors? Are there indicators for irregularities?
• Are legal disputes pending for which no provisions have been set aside?
• Is the company active in a criminal environment (contacts to organized crime, money laundering)?
• Have the owners/managers of the company already registered a competing company?

Systematic evaluation

Wirtschaftsdienste Peter Schmid will work out a catalog of questions together with the client. Based on that, research will be carried out, using our foreign partners and their knowledge of the local market if necessary. Of course all of this is done with absolute confidentiality. As a result, you will receive a comprehensive and meaningful report.

Many clients could already avoid fatal erroneous investments thanks to this kind of research.