Due diligence

Before acquiring a company, the prospective owner typically wants to ascertain the business, legal and tax risks of the target company. The due diligence team of BDO Hungary's financial advisory business, supplemented by a partner law firm and tax specialists, scans the company from business, legal and tax aspects. The risks identified during the due diligence form the basis of the purchase price negotiations, the future responsibilities of the management and the expectations placed on the management, and help to avoid future legal disputes.

During the due diligence, all contracts of the company, employment contracts, loans, tangible and intangible assets, inventory value, value of real estate and other assets, as well as litigation and other legal matters, as well as tax risks of the target company are examined. Thus, screening material often points to suboptimal practices and procedures to be developed.

Contact: Török Bálint balint.torok@bdo.hu