This is the stage where the deal moves from paper to reality. The buyer must protect what made the business worth buying, while beginning the work needed to realise the value behind the deal.
Expert Opinion
The purpose of due diligence is to confirm what the buyer is acquiring, identify risks that need to be addressed, and decide whether the agreed price, structure and protections remain appropriate before completion.
Once a buyer has decided that a target may be strategically attractive, they need to understand enough of the opportunity to make sure the proposed Heads of Terms reflect the commercial reality of the business.
Part of The Acquisition Success Series for business owners considering acquisitions, this first article covers the importance of strategic fit
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