Company due diligence is used in Hong Kong by investors who want to purchase a company or are interested in performing other mergers and acquisitions. This process is important for the final decision making regarding a certain asset or company acquisition and can represent the difference between a successful business operation and a risky investment.
The representatives at our law firm in Hong Kong can provide you with complete and professional due diligence services if you are interested in buying a company. By requesting our services you can reduce the overall duration of the purchase process and make the necessary business transaction faster and safer.
You can watch this short video for more information about company due diligence in Hong Kong:
The due diligence process in Hong Kong
A due diligence verificationin Hong Kong is based on finding out relevant information about the financial and commercial background of a company. It includes the following:
-confirmation regarding the business name, registration and activity field;
-past and current financial transactions, the situation of the financial records and any similar data;
-a list of the creditors, business partners, vendors and other collaborators;
-a complete list of the assets owned by the company;
-the number and situation of the employees in Hong Kong;
-evidence that the company has fulfilled its tax obligations and has not entered into any illegal tax avoidance schemes.
When necessary our lawyers in Hong Kong can perform in depth and additional research, apart from the main issues listed above.
The uses of due diligence for investors in Hong Kong
The due diligence process is requested by businesses that are interested in a Hong Kong company targeted for a merger or acquisition. The evaluation can be requested in its complete form or only for one important area like the financial situation of the company or the relevant commercial data. By requesting this analysis investors can protect themselves not only from any financial risks but also from other operational dangers like those involving legal compliance.
If you are an investor in Hong Kong and need to find out more about the sustainability of a certain business transaction please feel free to request the services provided by our Hong Kong law firm.
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