Investment due diligence is the process of carefully researching and analyzing an investment opportunity to make an informed decision about whether to invest. This typically includes analyzing financial statements, reviewing management and organizational structure, assessing market conditions and competition, and conducting legal and regulatory research. The goal of due diligence is to identify any potential risks or red flags associated with an investment, as well as to confirm that it meets the investment criteria established by the investor. Due diligence may be done by the investor themselves or by a professional due diligence firm.
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