#CORPORATELAW : 6 REASONS WHY LEGAL DUE DILIGENCE NEEDS TO BE DONE (DUE DILLIGENCE) WHEN YOU OR YOURS CLIENT INTENDING TO INVEST.

First, understand the business activities the company targets along with licensing-its permissions have been in accordance with applicable law or not;

Second, to help determine the value of the target company.

Third, to identify legal issues target companies. It is important to know what responsibility would arise and managed client at a later date when we have purchased the company's target.

Fourth, The next objective is to determine an appropriate transaction structure according to the needs of the client.

Fifth, in order to determine the project transaction documents;   

Sixth, determine the necessary requirements are met by the parties to the transaction documents. Johannes says a good lawyer will examine the transaction documents carefully, especially on the status of clean and clear mining company.

  The target company can just say his company has been awarded the status of clean and clear, free and clear of problems such as overlapping claims, free from the community. It turns out, clean and clear status is the new target companies petition for limited funds to acquire that status.