As the global business landscape continues to change and becomes more complex regulatory compliance is becoming more important than ever. It is crucial to be thorough when seeking funding, investment or partnerships. This will ensure that your company remains compliant in the present as well as the future.
Regulatory due diligence is a way of evaluating, observing and making sure that you are in compliance with laws and regulations. It covers a variety of issues, including environmental practices, legal compliance as well as corporate governance, data privacy, and more. It can be used to determine a target’s capacity for technological adaptation and growth.
It’s essential for any M&A transaction. According to MetricStream’s research, the rate of failure for deals globally is anywhere from 70% to 90 percent. Uncertainties in the geopolitical environment along with regulatory hurdles and badly advised acquisitions are the most frequent reasons. Due diligence in the regulatory arena can mitigate these risks, thus increasing the probability of a successful outcome.
To minimize risk To minimize risk, regulatory due diligence must be conducted concurrently with commercial and financial due diligence. Inability to spot compliance issues could lead to significant fines and a loss of profits, not to mention a damaged reputation. In severe instances, it could result in to a criminal conviction. It is essential to be proactive and choose a software that allows you to conduct due diligence and regulatory screenings across multiple jurisdictions. Nexis Diligence+ ™ integrates an integrated business intelligence platform that includes anti-money laundering (AML), anti-money laundering (AML), anti bribery and corruption (ABC) and the forensic services into one source.
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