Due Diligence/Merger & Acquisition Investigations

Due diligence is vital process to perform before a merger, company purchase, or acquisition because it ensures that liabilities are not hidden and there are no details left uncovered. A due diligence investigation is a type of pre-transaction or pre-employment corporate investigation that attempts to uncover details of a company's management, finances, performance, mission, history, aims, suppliers, clients, and any other details that may affect how a company does business. Due diligence ensures that there will be no unpleasant surprises down the road.

If you are in any sort of business or plan to accept a high-raking position, due diligence investigations give you the most complete picture of a company. The fact that due diligence investigations are so good at finding liabilities in a company, they can help you negotiate a lower price or higher salary in a negotiation, and ensure that any claims made about a business are substantiated before signing on the dotted line. Any time you link your finances or your professional well-being to a business, a thorough due diligence business investigation will assist in keeping you safe and well informed.

What Happens During Due Diligence Investigations?

A good private investigator will explain all the facets of a business you can investigate, and will work with you to determine exactly which services and investigation you need. An investigator will often use forensic accounting investigations through a Certified Financial Examiner, extensive background checks, covert surveillance, mystery shopping, locate assets, financial investigations, and other business investigation methods to find out what is happening inside a company. In some cases, investigators will need to review public records, speak with company clients and customers, and even contact overseas offices in order to uncover the legitimacy and potential of a company.

Typical items to Investigate Involving Due Diligence:


  • Company Overview (History)
  • Employees (Benefits, Personalities, Unions)
  • Intellectual Property, Assets and Facilities
  • Liabilities
  • Mergers & Acquisitions
  • Non-compete investigations
  • Employee background checks
  • Executive dossier background check

What are the advantages and disadvantages of due diligence inquiries?


  • Evaluates the amount of risk involved.
  • Can collect current information to make good business and financial decisions.
  • Avoids potentially costly mistakes.
  • Minimizes the risk of future law suits from bad partnerships.
  • Obtain proof to better negotiate terms for future acquisitions.
  • Provides insight to the overall state of an organizations health and stability.


  • Company disapproval and/or resentment if irregular business practices are found