What is due diligence?

The due diligence process allows potential buyers and investors to learn about the company in question with a signed full disclosure. The information requires precision and investigation for structuring a fair deal for all involved stakeholders. M&A attorneys create a comprehensive checklist of requirements, and accountants audit corresponding financial statements to ensure all supporting documents are accurate in developing a comprehensive financial picture regarding the proposed transaction. See the UpCounsel Due-diligence checklist as an example.