diligenceátvilágítás

diligenceátvilágítás is a Hungarian term that translates to "due diligence review" or "due diligence audit" in English. It refers to a comprehensive investigation and evaluation of a company or asset, typically conducted before a significant transaction such as a merger, acquisition, investment, or sale. The primary purpose of diligenceátvilágítás is to identify and assess potential risks and opportunities associated with the transaction, ensuring that all relevant information is understood by the parties involved.

This process involves examining various aspects of the target entity, including its financial records, legal standing, operational efficiency, market position, and management structure. Financial due diligence focuses on verifying financial statements, cash flows, liabilities, and profitability. Legal due diligence scrutinizes contracts, litigation, compliance with regulations, and intellectual property rights. Operational due diligence assesses the efficiency of business processes, technology, and infrastructure.

The findings from a diligenceátvilágítás inform the decision-making process, helping parties negotiate terms, determine valuation, and identify any conditions or warranties that need to be included in the transaction agreement. It aims to provide a clear and objective picture of the target, minimizing surprises and potential losses for the party undertaking the review. In essence, diligenceátvilágítás is a critical risk management tool in business transactions.