Due Diligence

Types of Due Diligences Conducted by CM Shah & Co.

Here are the primary types of due diligence for management consulting services offered by CM Shah & Co. offered by their experienced professionals:

Administrative Due Diligence

The administrative unit in a business or organization is by far the largest. It includes components, such as employee details, facilities, salary disbursement system, workstation count and much more. Our experts determine the whereabouts of these components and check whether they match the business’s current financial situation.

Financial Due Diligence

Financial due diligence is a necessary process that every company should undergo. Our financial due diligence includes examining components like bank transactions and other financial statements, income and expenditure, inventory, debtors and creditors and much more in a particular financial year. We usually ask for statements of the past three financial years to determine an accurate result and give a better outcome.

Asset Due Diligence

Our auditors conduct a thorough physical examination of the fixed assets held by a company. After checking the assets, the due diligence report is released. It is done based on the last five years of capital equipment held, mortgages, real estate deeds, partnership agreements and much more. The way a company holds its assets tells a lot about its financial condition and helps to predict the proper steps that are to be taken for growth and development.

Human Resources Due Diligence

• In our human resource due diligence process, these are the components we inspect:
• The total number of employees working compared to the vacancies.
• Salary disbursement structure along with bonuses.
• Employee contracts and agreements that are signed during recruiting.
• Detailed HR policies regarding various types of leaves.
• Analysis of potential litigation and law disputes with employees.
• Insurance policies that are signed up with the insurance company and employees.
• Legal cases regarding employee termination, discrimination, harassment.

Taxes Due Diligence

Taxes are a significant part of a company’s expenditure. Hence proper documentation should be available while our auditors carry out the due diligence process. Our experts check the various documents and analyze all possible places where tax is deposited. We report any missed places to the company, which enables them to take the further necessary steps.

Legal Due Diligence

Legal due diligence includes documents like minutes of several meetings, agreements and deeds with other parties, licenses, bank statements, loan statements and much more. We check these thoroughly to determine the financial state of the company