7.3.1 Who performs the due diligence process?

Due diligence is a catch-all concept. Every professional will first think of due diligence in his own field of expertise. It depends on the scope and purpose of the project or transaction which experts will be engaged for the due diligence process. For a full due diligence investigation, many different experts can be involved. Multidisciplinary teams will work on: business issues (this work will typically be performed by commercial lawyers and the company's commercial staff); financial position and forecast (the company's financial staff, investment bankers, accountants); technical aspects (in-house and external technical experts); tax risks (tax lawyers); corporate structure and legal liabilities (lawyers and notaries); real estate (notaries; real estate agents' valuation experts); pension issues (lawyers, tax lawyers, accountants and actuaries); IT issues (IT consultants); environmental issues (environmental law and administrative law specialists, technical environmental consultants); insurance issues (insurance or actuarial experts); and fraud and corruption (forensic accountants). Presently, few due diligence investigations include an assessment on human rights issues.1 To add them in, human rights lawyers and experts would need to be engaged.2

A due diligence investigation renders the best results when the experts work together as a team in which information is shared and issues are discussed. Together with the company that commissioned the due diligence process, the team members should decide which issues to pursue more deeply and which issues to put aside. Communication by the team members can best take place by organising a kick-off meeting in which the company sets out the intended project or transaction, and explains what its goals are in respect of the due diligence process. Company representatives or the lead counsel co-ordinating the process will explain the procedural and the substantial parameters for the project. Subsequent meetings can take place physically or via video conferencing, which is usually more practical when team members are spread out all over the world.