Assuming the role of a potential buyer or investor in a merger or acquisition or an investment transaction requires extensive reviews and an in-depth examination of a variety of documents. This can be time-consuming especially when the parties are reviewing an extensive amount of information in a variety of areas of due diligence, including human capital, financial assets, intellectual property and tax. To avoid confusion and minimize the risk of missed items, it is essential to compile a complete list of all the documents that must be requested during the review process.

A thorough due diligence checklist for business will help you to identify crucial details, and make sure that every aspect of the review is covered. For example the human capital component of a review will look at the company’s staff and employees, their wages and benefits. This could include an analysis of employees based on position, and a comparison of salary to that of similar employees in their industry and regional. The report will also analyze the policies, procedures, and practices around hiring, firing, employee compensation, incentives sick leave, vacation contracts and termination.

Many of these areas of due diligence will require the input of specialists and external consultants. It is a good idea to set a time frame for completing the review and define clear parameters to avoid delays, miscommunications, or duplicate work. Using a CRM program like DealRoom can aid in this process by providing a central platform for all documents, communications and tasks to be managed.