Due Diligence

Due diligence is the investigation a buyer, investor, or lender conducts before signing or closing, financial records, tax returns, contracts, litigation history, intellectual property ownership, employment matters, regulatory compliance, and ownership of assets.

The depth and scope depend on the deal: a small asset purchase needs less than a strategic acquisition or an investment round. Findings frequently change the price, the indemnification terms, or whether the deal closes at all.

In California, areas that need close diligence include employment classification (worker vs. independent contractor), wage and hour exposure, environmental liability, and franchise tax standing. We run targeted diligence with checklists tailored to the industry and transaction size.