Increased globalization is taking firms to new geographies and markets. Mis-representation and fraud are among the two biggest risks that firms run into, while entering into contracts with hitherto unknown companies.

A large number of opportunities emerging in India relate to unlisted companies in unorganized and under-documented sectors, where information on company background, management, company reputation, history, legal issues etc. are not available through secondary information sources. In-depth evaluation of potential business partners, distributors, contract manufacturers, customers, vendors, service providers and investees is required as an essential element of risk management.

At ValueNotes, we are on the radar of global investment consultancies, fund managers, PE / VC investors, sourcing consultants and research firms, for comprehensive due diligence on Indian companies, listed and unlisted. In many instances, our research has been critical in saving companies from fraudulent transactions. Our streamlined due diligence process is comprehensive and ensures in-depth coverage of the target firm’s:

• Registration credentials
• Litigation status, the company and its management
• Plant, machinery, scale, operations, through physical verification at site
• Financial credibility
• Management checks – key management personnel, litigation checks, background checks

Some of the projects involving due diligence that we have worked on include: