The acquisition of a business is always associated with significant risks.

The buyer must have complete information about the company’s business activities, corporate rights being acquired, its assets and liabilities, as well as the presence of the company’s debt obligations and other risks.

On the other hand, the seller is not interested in disclosing all information about the risks of the selling company, as it can affect a change in its price downwards.

However, it is essential to remember that along with the company’s assets, the buyer also acquires its unfulfilled obligations.

Minimizing the risks for the buyer can be achieved through conducting a legal audit, known as due diligence.

Based on the results of the legal audit, we are ready to provide you with a legal opinion containing the following information:

• legal assessment of the reliability of the information provided by the selling company.
• legal assessment of the company’s history (compliance with regulatory procedures in previous alienations of the company or part of its corporate rights, etc.).
• legal assessment of legal documents for the company’s real estate objects.
• information about the encumbrances (or lack thereof) on the company’s real estate (arrests, pledges, mortgages, etc.).
• identification of legal, financial, and tax risks existing in the company.
• analysis of the company’s accounts receivable and payable.
• assessment of the prospects of tax and other disputes (if any in the company).
• identification of hidden risks.

Conducting a legal audit allows the buyer to realistically assess the strengths and weaknesses of the company whose corporate rights are planned for acquisition.

Detecting various risks at the preliminary stage of purchasing a company provides the buyer with substantial arguments for negotiating a reduction in its price or for refraining from acquiring corporate rights.