Taking forward the jargon of industry “Let the buyer beware”: due diligence is conducted by the investor before taking a step ahead in any new strata. Due diligence is an extensive check on the background, financials, future scope of a potential investment to collect and confirm all the relevant facts and significant threats attached.
Preparing Search & Status Report: Part of due diligence, search & status report is prepared when applying for loans or working capital facility from Banks or Financial Institutions.
Banks and financial institutions are interested in a true and complete history of the company so as to be sure of the credit worthiness of the company before making any payout. The report should clearly depict the position of borrowing of the company and charges created on the property of the company.
Search & Status report has to be backed by the observations of a Practicing Professional.