Operations Due Diligence: An M&A Guide for Investors and Business

THE BS QUOTIENT

Because Operations Due Diligence relies on a broad range of disciplines rather than a specific or well-established method such as exists in accounting and law, there is much more room for creative responses to your questions. The answers to assessment questions will be understandably biased toward the business and tend to give the answer the person being questioned thinks the assessor wants to hear.

Operations Due Diligence requires an on-site assessment, which can become a time for the business to cleverly hide its scars and emphasize the positives rather than being forthright about the weaknesses that might exist. This happens because the business may not understand that identifying weak areas is exactly where the investor will ...