What Is Due Diligence — And Why It’s a Strategic Necessity

Due diligence isn’t just a legal formality or a checklist. It’s a deep-dive investigation into a company’s financials, operations, legal standing, compliance health, and potential red flags. It ensures you’re not just buying assets — you’re buying the full picture.

At S R Mahajan & Co., we see due diligence as a risk filter and a value finder. We don’t just point out problems — we highlight opportunities, synergies, and areas to renegotiate or restructure.

Types of Due Diligence We Offer:

Financial Due Diligence

• Deep analysis of financial statements, revenue trends, EBITDA normalization, and working capital

• Detection of hidden liabilities, off-balance sheet items, or revenue recognition issues

Legal & Compliance Due Diligence

• Review of contracts, agreements, licenses, ongoing litigations, and compliance with corporate laws, FEMA, Income Tax, and GST regulations

Operational Due Diligence

• Evaluation of internal processes, technology systems, human capital, procurement, supply chain, and scalability potential

Strategic Due Diligence

• Assessment of market positioning, brand equity, SWOT analysis, and alignment with buyer’s business model

Tax Due Diligence

• Review of direct and indirect tax exposures, legacy disputes, and compliance with tax laws that could impact valuation or structuring

When Do You Need Due Diligence?

• Mergers & Acquisitions (M&A)

• Private Equity or Venture Capital Investments

• Business Takeovers or Joint Ventures

• Promoter Exit or New Partner Entry

• Pre-IPO Readiness

• Vendor or Buyer Assessment

• Franchisee Evaluation

What Makes Our Approach Different?

• Beyond the Checklist: We tailor every due diligence based on deal size, industry, and specific risks — not generic formats.
• Risk + Value = Insight: We don’t just highlight what’s wrong; we uncover what’s valuable and how to leverage it.
• Actionable Reporting: We deliver insights you can act on — clear summaries, red-flag alerts, and go/no-go decision matrices.
• Confidentiality First: All engagements are handled with the highest level of discretion and data security.
• Hands-On Execution Support: Need help in negotiations or deal structuring post-due diligence? We’re there for that too.