Due Diligence​

Due diligence refers to the process of research and analysis, examining the financial
aspects of the target business, identifying key financial and commercial risk.

Due diligence is generally performed before an Acquisition, Bank loan, Investment, Privatization or Business partnership or in order to determine the value of the subject of the due diligence. ​

The prospective acquirer / investor should obtain all the necessary information within the predetermined time and make sure that he makes a good deal and not a costly mistake. Due diligence investigations can range from a one-day review to the preparation of a detailed long-form report.​
Due Diligence​ Service Second View | MRSC
Due Diligence​ Service | MRSC

Why Us

Clients engage MRSC when they need
a consultative and comprehensive investigative process to identify key details and then connect the dots.

They hire MRSC when they are attempting to manage the risks associated with critical transactions or bank loans.
MRSC’s team is comprised of Chartered Accountants, members of law enforcement, financial analysts, field verification specialist, and corporate governance specialists.The diversity of professionals at MRSC enables us to bring to our cases complementary and sophisticated fact-finding techniques and analytical methodologies. Our professionals bring real insights to each assignment and an unparalleled ability to turn raw information into meaningful business intelligence.
Like any other supplier, due diligence providers have a legal, ethical, moral and regulatory obligation to ensure that the work they do for their clients is done within the confines of the law. Nothing should be done beyond the legal mandate at whatever cost. This is because no individual or entity is above the law and MRSC works on the same principle.

How we can help ?​

How we can help ?​

We conduct due diligences with the sole objective to generate valuable due diligence reports and business analyses for our clients, that become an integral component of their decision-making and negotiation processes. We offer a confidential, sound, unbiased perspective and are the ideal complement to client’s internal resources
The risks inherent in today’s financial transactions are greater than ever. MRSC provides answers to questions that financial and legal analyses cannot address, especially regarding integrity issues and the reputations and backgrounds of counterparties.

MRSC helps identify risk so deals can proceed or be restructured for clients who engage in the following:

Financing

Private
Equity

Joint
Ventures

Public
offerings

Mergers and Acquisitions

Thorough commercial due diligence can help strengthen a deal and have a positive impact on its success through the early identification of problems that may be mitigated ahead of closing.
There are times when loans are sanctioned without adequate due diligence to confirm authenticity of the promoters background. In the age of continuous monitoring by the regulators it becomes important to conduct the quick review of the background of the borrowers. This becomes even more relevant for loans sanctioned especially at period ends where there is significant pressure on Turn Around Time.

Choose wisely

So many Nationalized Banks and clients have chosen MRSC on satisfaction of the following question from number of due diligence providers; it may include the ones noted below.​

Because of having satisfactory set up of the questions more and more banks and clients are choosing MRSC.​

Questions we ask

  • 1. Who are the people or entities involved? What are their backgrounds?
  • 2. What is the reputation of due-diligence provider in the market? Can the information and data they collect and provide be used in court?
  • 3. What is the depth of their research? How is the analysis of the findings done and by who?
  • 4. Whether flow chart of process is changes periodically?
  • 5. Do they sub-contract or use in-country resources?
  • 6. Are these trained and certified?
  • 7. Whether they following any system to kept our data safely?
  • 8. Do they have lawyers and counsel supporting and guiding them in their due diligence?
  • 9. Where and how to they get premium-quality data they provide to clients?
  • 10. How are their reviews and testimonials from current or previous partners and clients?
  • 11. What kind of after-sales service or support systems do they have?

Steps Involved

Steps Involved in due-diligence process

Due diligence process consists of evaluating the proposed deal by analyzing the present and historical financial statements including important agreements, reviewing the control environment and assessing the risk incidental to the business to generate valuable, confidential, sound and unbiased due diligence reports.
We tailor our investigative due diligence to each client and their specific needs, and our work entails a thorough review and analysis of public records and inquiries of human sources. MRSC does not rely on databases and computer-based sources alone. These sources are often incomplete or updated only sporadically. As such, MRSC conducts onsite research in developed and emerging markets and analyzes this information to identify risks and matches with the fact / documents provided by counterparties.
Due diligence process consists of evaluating the proposed deal by analyzing the present and historical financial statements including important agreements, reviewing the control environment and assessing the risk incidental to the business to generate valuable, confidential, sound and unbiased due diligence reports.
Team of MRSC prepares checklist depending on the business model. This checklist consists of the documents / questions that are to be evaluated and reviewed by financial due diligence team are as under.

THOUGH THE DUE DILIGENCE CHECKLIST

Though the due diligence checklist involves time and money it is the ideal way to save a business from impending financial disaster and irrevocable embarrassment to the reputation of the acquiring company.

In today’s modern business world, it is considered to be a mandatory step to meet legal and regulatory requirements and also to encourage corporate integrity and confidence of customers.

Checklist

  • The Organization chart and biographical information
  • Financial Statements
  • Income Tax Returns
  • Bank Statements
  • Property documents other asset-related sources
  • Utility bills like electricity bills, water bills
  • ESI / PF Returns
  • Employment and loan agreements
  • ROC Search report
  • GST Returns
  • CIBIL Reports
  • Business Location and proof of Location
  • Regulatory history, sanctions and violations
  • Reviewing of key financial Ratios
  • Criminal proceedings and civil litigation
  • Corporate, partnership and other business records
  • Professional and educational history