Effective Due Diligence

What is due diligence?

Due diligence is a critical core aspect of restructuring, company disposals and the assessment of new strategic partnerships. The company must be prepared to disclose everything from customer contacts to bonus agreements, patent certificates and much else besides.

Data rooms help make due diligence more effective

Control of all relevant documents is a sound basis for due diligence. It is also important to bear in mind that business critical information may need to be shared with stakeholders from outside of the company.

A data room is ideal for storing and structuring data, and facilitates secure and easy information sharing with external parties

Data room functionality that streamlines and secures the due diligence process

Here are some of the functions that make a data room a useful due diligence tool:

  • Access control: A key function once the process is underway and different parties are invited into the data room with a view to evaluating information
  • Q&A: A data room with Q&A functionality ensures that enquiries coming into the Q&A process are delegated, responded to and logged in a controlled and efficient manner
  • Secure Messaging: Send and receive messages and discuss documents with your team, directly in the solution
  • Logging and reporting: All user activity in the data room is logged and accessible via reports
  • Archive and export on process completion: The entire data room and Q&A history are exportable. The full folder structure is saved for reuse and documentation

Due diligence checklist

For financial and legal due diligence

Control of all relevant documents is a sound basis for due diligence. Use our checklist to get an overview of the documents you need in a financial or legal due diligence process.

Download checklist