due diligence
Prudent preliminary research
Due diligence is the careful investigation or research someone undertakes before making a decision—especially a business transaction, investment, or legal agreement.
A buyer performs due diligence on a company before acquiring it, examining finances, contracts, and potential liabilities: We're still in the due diligence phase.
The term has spread beyond business to mean any thorough preliminary research: I did my due diligence before hiring the contractor.
Formal accounts examination
- vettingEvaluating suitability through investigation
- background checkInvestigation of someone's history
- inquiryRequest for information
- researchSystematic fact-finding effort
examination · probe · inspection · fact-finding · discovery · forensic analysis · verification · legal review
Corporate combination activity
- M&ACorporate buyouts and combinations
- venture capitalStartup growth financing
- private equityCapital for unlisted companies
- investment analysisEvaluating potential financial returns
corporate governance · intellectual property · market research · risk management · term sheet · closing · valuation · transaction
Obligation for one's actions
- responsibilityState of being answerable
- dutyRequired moral task
- fiduciaryAgent bound by loyalty
- stewardshipResponsible care of entrusted things
compliance · ethics · integrity · trustworthiness · obligation · professional standards · legal duty · corporate responsibility
Careful attention to risk
- circumspectionCareful consideration of consequences
- forethoughtPlanning before acting
- discretionCareful judgment in speech
- vigilanceState of keen awareness
wariness · heedfulness · judiciousness · foresight · deliberation · safeguard · precaution · due care
Including all elements
- exhaustiveCovering all possibilities
- meticulousShowing extreme attention to detail
- scrupulousThorough and principled
- rigorousExtremely thorough and careful
systematic · methodical · painstaking · detailed · thorough · precision · accuracy · exactness
audit
Formal accounts examination
- vettingEvaluating suitability through investigation
- background checkInvestigation of someone's history
- inquiryRequest for information
research · examination · probe · inspection · fact-finding · discovery · forensic analysis · verification · legal review · financial analysis
mergers and acquisitions
Corporate combination activity
- M&ACorporate buyouts and combinations
- venture capitalStartup growth financing
- private equityCapital for unlisted companies
investment analysis · corporate governance · intellectual property · market research · risk management · term sheet · closing · valuation · transaction · buyer
accountability
Obligation for one's actions
- responsibilityState of being answerable
- dutyRequired moral task
- fiduciaryAgent bound by loyalty
stewardship · compliance · ethics · integrity · trustworthiness · obligation · professional standards · legal duty · corporate responsibility · governance
caution
Careful attention to risk
- circumspectionCareful consideration of consequences
- forethoughtPlanning before acting
- discretionCareful judgment in speech
vigilance · wariness · heedfulness · judiciousness · foresight · deliberation · safeguard · precaution · due care · reasonable care
comprehensive
Including all elements
- exhaustiveCovering all possibilities
- meticulousShowing extreme attention to detail
- scrupulousThorough and principled
rigorous · systematic · methodical · painstaking · detailed · thorough · precision · accuracy · exactness · fastidiousness
- M&Amerger, acquisition, takeover, hostile takeover, leveraged buyout
- business termsfranchising, revenue stream, board meeting, gross margin, markdown
- real estatehouse, home, apartment, property, sale
- business skillsmanagement, financial literacy, leadership, deal-making, delegation
- corporate financecost of capital, investment, capital markets, NPV, debt financing
- business casesmarket entry, feasibility study, turnaround plan, restructuring plan, expansion plan
due diligencenegligence
Failure to exercise care
carelessness · recklessness · heedlessness · sloppiness · oversight
due diligenceblind trust
Complete unquestioning confidence
blind faith · credulity · taking at face value · naivety · gullibility
due diligencedereliction of duty
Willful failure at responsibilities
irresponsibility · imprudence · malpractice · malfeasance · professional negligence