The main reason you need a due diligence checklist is to make sure you don’t overlook anything when acquiring a business. Having a due diligence checklist allows you to see what obligations, liabilities, problematic contracts, intellectual property issues, and litigation risks you’re assuming. Most of the documents and information on your due diligence checklist are available on request. Once you have the information, it’s up to you to analyze it and decide whether it’s a good investment.
Generally, there are several areas of due diligence that are addressed on a due diligence checklist, such as corporate structure & general matters, taxes, strategic fit, intellectual property, material assets, and other areas.
