As the business landscape around the world continues to change and become increasingly complex compliance with regulations is more important than ever. Whether you are seeking investment or funding it is crucial to perform thorough due diligence to ensure your company is in compliance today and into the future.
Regulatory due diligence is a process of evaluating, monitoring and ensuring compliance with laws as well as regulations. It covers many issues such as legal compliance, corporate governance and data security, among more. It can also be used to identify the capability of a target to undergo technological change and growth.
It’s essential for any M&A deal to have this. According to research conducted by MetricStream, the failure rate of deals worldwide varies between 70% and 90%, with regulatory hurdles, geopolitical uncertainty and poorly planned acquisitions being the https://fitboardroom.com/esg-due-diligence-in-investment-planning/ top three reasons. Being vigilant in the regulatory arena can mitigate these risks, thus increasing the probability of a successful outcome.
To reduce risks To minimize risk, regulatory due diligence must be conducted simultaneously with financial and commercial due diligence. Inability to spot compliance issues can lead to significant fines and a loss of profits, and a damaged reputation. It could even result in the possibility of a criminal conviction in some cases. It is crucial to be proactive in the process, and using the right solution to conduct regulatory due diligence and other screenings across multiple jurisdictions in a seamless manner. Nexis Diligence+(tm) incorporates a full business intelligence platform, which includes anti-money laundering (AML), anti-bribery and corruption (ABC) and forensic services to offer an all-in-one source of truth.