Buyer Due Diligence
The purpose of due diligence for the Buyer is to prove the Business as the Seller has represented. The Buyer will request certain items from the Seller to verify what has been represented as true. Typically, the Buyer will request profit and loss statements, balance sheets, and tax returns; however, depending upon the Business, the Buyer may request other verifying documentation. Please click to view a sample due diligence checklist that the Buyer will sign and submit to the Seller.
In many cases the potential buyer is not financially savvy so will hire an accountant to assist with the due diligence. This is wise. Sunbelt has various list for a Buyer to choose from depending on the size and complexity of the company. A different list will be needed for Stock Sales.