{"id":208444,"date":"2021-07-21T17:21:34","date_gmt":"2021-07-21T04:21:34","guid":{"rendered":"https:\/\/legalvision.co.nz\/?p=208444"},"modified":"2021-08-03T21:48:56","modified_gmt":"2021-08-03T08:48:56","slug":"due-diligence-buying-business","status":"publish","type":"post","link":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/","title":{"rendered":"3 Reasons Not To Rush Due Diligence When Buying Business in NZ"},"content":{"rendered":"<p><span style=\"font-weight: 400\">Due diligence is a critical component for any prospective purchaser looking to <\/span><a href=\"https:\/\/legalvision.co.nz\/corporations\/5-tips-when-purchasing-a-business-in-new-zealand\/\"><span style=\"font-weight: 400\">buy a New Zealand business<\/span><\/a><span style=\"font-weight: 400\">. It is essential to take the time and care necessary for proper due diligence, no matter how good the business might seem or your personal relationship with the business owner. It is industry standard to do comprehensive due diligence in New Zealand. Rushing that process can raise some issues and painful mistakes down the line.<\/span><\/p>\n<p><span style=\"font-weight: 400\">This article sets out three reasons not to rush <\/span><a href=\"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-business-sale\/\"><span style=\"font-weight: 400\">due diligence<\/span><\/a><span style=\"font-weight: 400\">. This is because:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">a comprehensive due diligence investigation takes time;\u00a0<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">you do not want to miss any red flags; and\u00a0<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">buying a business is a significant use of capital.<\/span><\/li>\n<\/ul>\n<h2><span style=\"font-weight: 400\">Comprehensive Due Diligence Takes Time<\/span><\/h2>\n<p><span style=\"font-weight: 400\">The fundamental reason why you should not rush due diligence is that properly completing this process takes time and resources. Of course, the total time needed will depend on the complexity of the business. As such, the due diligence process can take anywhere from several weeks to a few months.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">Remember that due diligence is a detailed investigative process. As a prospective purchaser of a business, you want the confidence that the business\u2019 financial, commercial, and legal records are in an accurate and acceptable state. This will require experts to comb through key records and documentation of the business you are thinking about buying.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">It is standard for good due diligence to include two-way communication between your team and the business. It is crucial for your team to do follow-up queries with the business in question about any vague or missing details. Likewise, you should give the business time to respond to these queries and make the relevant assurances. <\/span><\/p>\n<div class=\"box box--icon box--info\">\n<p><span style=\"font-weight: 400\">Given the scale of the purchase of a business, taking these extra weeks to allow these processes to play out will give you confidence that the business is a good investment.<\/span><\/p>\n<\/div>\n<h2><span style=\"font-weight: 400\">You Do Not Want to Miss Red Flags<\/span><\/h2>\n<p><span style=\"font-weight: 400\">Red flags are also known as \u2018deal-breakers\u2019. They are issues with the purchase or issues with the underlying business, that can endanger the deal, if discovered. Red flags can come in all kinds of forms and are not generally apparent to the outside eye. Sometimes, businesses are not as forthcoming about possible deal-breakers as they ought to be. For these reasons, due diligence is a vital tool to ensure that the business you are seeking to buy is what you think it is.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">Your team of lawyers and accountants should be well-practised at spotting possible red flags in the documents and details of the business\u2019 records. These might include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">non-complete or missing documents;<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">stressed liquidity situations or other financial risks;<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">unrealistic planning assumptions; or<\/span><\/li>\n<li style=\"font-weight: 400\"><span style=\"font-weight: 400\">overvaluation of assets.<\/span><\/li>\n<\/ul>\n\n<a href=\"#content-next\"\n   class=\"block p-4 mt-10 text-xl font-bold text-center text-white no-underline bg-gray-800 rounded-t-xl\">\n    Continue reading this article below the form\n    <i class=\"text-xl fa-regular fa-arrow-down\"><\/i>\n<\/a>\n<div class=\"px-6 pt-10 pb-12 mb-10 text-center bg-gray-100 rounded-b-xl sm:px-12 test\">\n    <div class=\"mb-8 text-2xl font-bold text-orange\">\n        Need legal advice?\n        <br>\n        <span class=\"text-lg not-prose\">\n                            Call <a href=\"tel:+64800005570\" class=\"not-prose\">0800 005 570<\/a> for urgent assistance.\n                <br>\n                Otherwise, complete this form, and we will contact you within one business day.\n                    <\/span>\n    <\/div>\n\n    \n\n<div class=\"not-prose flex justify-center text-left gform_input_bg_white    \">\n    <script>\nvar gform;gform||(document.addEventListener(\"gform_main_scripts_loaded\",function(){gform.scriptsLoaded=!0}),document.addEventListener(\"gform\/theme\/scripts_loaded\",function(){gform.themeScriptsLoaded=!0}),window.addEventListener(\"DOMContentLoaded\",function(){gform.domLoaded=!0}),gform={domLoaded:!1,scriptsLoaded:!1,themeScriptsLoaded:!1,isFormEditor:()=>\"function\"==typeof InitializeEditor,callIfLoaded:function(o){return!(!gform.domLoaded||!gform.scriptsLoaded||!gform.themeScriptsLoaded&&!gform.isFormEditor()||(gform.isFormEditor()&&console.warn(\"The use of gform.initializeOnLoaded() is deprecated in the form editor context and will be removed in Gravity Forms 3.1.\"),o(),0))},initializeOnLoaded:function(o){gform.callIfLoaded(o)||(document.addEventListener(\"gform_main_scripts_loaded\",()=>{gform.scriptsLoaded=!0,gform.callIfLoaded(o)}),document.addEventListener(\"gform\/theme\/scripts_loaded\",()=>{gform.themeScriptsLoaded=!0,gform.callIfLoaded(o)}),window.addEventListener(\"DOMContentLoaded\",()=>{gform.domLoaded=!0,gform.callIfLoaded(o)}))},hooks:{action:{},filter:{}},addAction:function(o,r,e,t){gform.addHook(\"action\",o,r,e,t)},addFilter:function(o,r,e,t){gform.addHook(\"filter\",o,r,e,t)},doAction:function(o){gform.doHook(\"action\",o,arguments)},applyFilters:function(o){return gform.doHook(\"filter\",o,arguments)},removeAction:function(o,r){gform.removeHook(\"action\",o,r)},removeFilter:function(o,r,e){gform.removeHook(\"filter\",o,r,e)},addHook:function(o,r,e,t,n){null==gform.hooks[o][r]&&(gform.hooks[o][r]=[]);var d=gform.hooks[o][r];null==n&&(n=r+\"_\"+d.length),gform.hooks[o][r].push({tag:n,callable:e,priority:t=null==t?10:t})},doHook:function(r,o,e){var t;if(e=Array.prototype.slice.call(e,1),null!=gform.hooks[r][o]&&((o=gform.hooks[r][o]).sort(function(o,r){return o.priority-r.priority}),o.forEach(function(o){\"function\"!=typeof(t=o.callable)&&(t=window[t]),\"action\"==r?t.apply(null,e):e[0]=t.apply(null,e)})),\"filter\"==r)return e[0]},removeHook:function(o,r,t,n){var e;null!=gform.hooks[o][r]&&(e=(e=gform.hooks[o][r]).filter(function(o,r,e){return!!(null!=n&&n!=o.tag||null!=t&&t!=o.priority)}),gform.hooks[o][r]=e)}});\n<\/script>\n\n                <div class='gf_browser_gecko gform_wrapper gravity-theme gform-theme--no-framework lawyer-form_wrapper gplaceholder_wrapper form-with-labels-no-asterisks_wrapper has-new-validation-error-styling_wrapper' data-form-theme='gravity-theme' data-form-index='0' id='gform_wrapper_2452' style='display:none'><div id='gf_2452' class='gform_anchor' tabindex='-1'><\/div><form method='post' enctype='multipart\/form-data' target='gform_ajax_frame_2452' id='gform_2452' class='lawyer-form gplaceholder form-with-labels-no-asterisks has-new-validation-error-styling' action='\/api\/wp\/v2\/posts\/208444#gf_2452' data-formid='2452' novalidate>\n                        <div class='gform-body gform_body'><div id='gform_fields_2452' class='gform_fields top_label form_sublabel_below description_below validation_below'><div id=\"field_2452_15\" class=\"gfield gfield--type-honeypot gform_validation_container field_sublabel_below gfield--has-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2452_15'>LinkedIn<\/label><div class='ginput_container'><input name='input_15' id='input_2452_15' type='text' value='' autocomplete='new-password'\/><\/div><div class='gfield_description' id='gfield_description_2452_15'>This field is for validation purposes and should be left unchanged.<\/div><\/div><div id=\"field_2452_1\" class=\"gfield gfield--type-text gfield--input-type-text gf_left_half gfield--width-half gfield_contains_required field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2452_1'>First Name<span class=\"gfield_required\"><span class=\"gfield_required gfield_required_text\">(Required)<\/span><\/span><\/label><div class='ginput_container ginput_container_text'><input name='input_1' id='input_2452_1' type='text' value='' class='medium'     aria-required=\"true\" aria-invalid=\"false\"   \/><\/div><\/div><div id=\"field_2452_12\" class=\"gfield gfield--type-text gfield--input-type-text gf_right_half gfield--width-half gfield_contains_required field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2452_12'>Last Name<span class=\"gfield_required\"><span class=\"gfield_required gfield_required_text\">(Required)<\/span><\/span><\/label><div class='ginput_container ginput_container_text'><input name='input_12' id='input_2452_12' type='text' value='' class='medium'     aria-required=\"true\" aria-invalid=\"false\"   \/><\/div><\/div><div id=\"field_2452_2\" class=\"gfield gfield--type-email gfield--input-type-email gf_left_half gfield--width-half gfield_contains_required field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2452_2'>Email Address<span class=\"gfield_required\"><span class=\"gfield_required gfield_required_text\">(Required)<\/span><\/span><\/label><div class='ginput_container ginput_container_email'>\n                            <input name='input_2' id='input_2452_2' type='email' value='' class='medium'    aria-required=\"true\" aria-invalid=\"false\"  \/>\n                        <\/div><\/div><div id=\"field_2452_3\" class=\"gfield gfield--type-phone gfield--input-type-phone gf_right_half gfield--width-half gfield_contains_required field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2452_3'>Phone<span class=\"gfield_required\"><span class=\"gfield_required gfield_required_text\">(Required)<\/span><\/span><\/label><div class='ginput_container ginput_container_phone'><input name='input_3' id='input_2452_3' type='tel' value='' class='medium'   aria-required=\"true\" aria-invalid=\"false\"   \/><\/div><\/div><div id=\"field_2452_14\" class=\"gfield gfield--type-select gfield--input-type-select gfield--width-full custom-select gfield_contains_required field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2452_14'>Number of Employees in Your Business<span class=\"gfield_required\"><span class=\"gfield_required gfield_required_text\">(Required)<\/span><\/span><\/label><div class='ginput_container ginput_container_select'><select name='input_14' id='input_2452_14' class='large gfield_select'    aria-required=\"true\" aria-invalid=\"false\" ><option value='' ><\/option><option value='0' >0<\/option><option value='1' >1-5<\/option><option value='6' >6-20<\/option><option value='21' >21-50<\/option><option value='51' >51-250<\/option><option value='250' >250+<\/option><\/select><\/div><\/div><div id=\"field_2452_4\" class=\"gfield gfield--type-textarea gfield--input-type-textarea gfield_contains_required field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><label class='gfield_label gform-field-label' for='input_2452_4'>Tell us about your enquiry<span class=\"gfield_required\"><span class=\"gfield_required gfield_required_text\">(Required)<\/span><\/span><\/label><div class='ginput_container ginput_container_textarea'><textarea name='input_4' id='input_2452_4' class='textarea medium'     aria-required=\"true\" aria-invalid=\"false\"   rows='10' cols='50'><\/textarea><\/div><\/div><div id=\"field_2452_5\" class=\"gfield gfield--type-html gfield--input-type-html gfield_html gfield_html_formatted gfield_no_follows_desc field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  >By submitting this form, you agree to receive emails from LegalVision and can unsubscribe at any time. View our <a href=\"https:\/\/legalvision.co.nz\/privacy-policy\/\" target=\"_blank\">Privacy Policy<\/a>. <\/div><div id=\"field_2452_8\" class=\"gfield gfield--type-hidden gfield--input-type-hidden gform_hidden field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><div class='ginput_container ginput_container_text'><input name='input_8' id='input_2452_8' type='hidden' class='gform_hidden'  aria-invalid=\"false\" value='http:\/\/legalvision.co.nz\/api\/wp\/v2\/posts\/208444' \/><\/div><\/div><div id=\"field_2452_13\" class=\"gfield gfield--type-hidden gfield--input-type-hidden gform_hidden field_sublabel_below gfield--no-description field_description_below field_validation_below gfield_visibility_visible\"  ><div class='ginput_container ginput_container_text'><input name='input_13' id='input_2452_13' type='hidden' class='gform_hidden'  aria-invalid=\"false\" value='generic_form' \/><\/div><\/div><\/div><\/div>\n        <div class='gform-footer gform_footer top_label'> <button type=\"submit\" id=\"gform_submit_button_2452\" class=\"gform_button button\" onclick=\"gform.submission.handleButtonClick(this);\" data-submission-type=\"submit\"><span class=\"gform_submit_button__text\">Submit Now<\/span><\/button> <input type='hidden' name='gform_ajax' value='form_id=2452&amp;title=&amp;description=&amp;tabindex=0&amp;theme=gravity-theme&amp;hash=8d907caff460821c366ed2411b0c45b3' \/>\n            <input type='hidden' class='gform_hidden' name='gform_submission_method' data-js='gform_submission_method_2452' value='iframe' \/>\n            <input type='hidden' class='gform_hidden' name='gform_theme' data-js='gform_theme_2452' id='gform_theme_2452' value='gravity-theme' \/>\n            <input type='hidden' class='gform_hidden' name='gform_style_settings' data-js='gform_style_settings_2452' id='gform_style_settings_2452' value='' \/>\n            <input type='hidden' class='gform_hidden' name='is_submit_2452' value='1' \/>\n            <input type='hidden' class='gform_hidden' name='gform_submit' value='2452' \/>\n            \n            <input type='hidden' class='gform_hidden' name='gform_currency' data-currency='AUD' value='bTxZq5+TQUzNhyJfTrrLLCTwJeHNbt05brg0bVyf8T\/EHUIYaYlBXEhFYeNW1ZY0oNGUVoEgN03ZPRrnk1XxtqMa3PpMR6A2TMBg6uv1Gg1ya6o=' \/>\n            <input type='hidden' class='gform_hidden' name='gform_unique_id' value='' \/>\n            <input type='hidden' class='gform_hidden' name='state_2452' value='WyJ7XCIxNFwiOltcIjIyODY0N2ViMWU3NTcxZjA4YTY4NGJmMDcwMTk3Y2I0XCIsXCJiMzk3YmQ1MDBmMmFjNjk1ODE4MzdmNTBhYTA2MzQ0OFwiLFwiNGYyNGZkZGEwMzlkNDUxMWFhZGE1NGYwZmQwZmNiZTdcIixcIjUyMmJkMDE2M2I2ZmEwOTI3NDZhZjU5YTg0ZmM1NDk5XCIsXCIzODRlNjk1YjQxMTAzMWFiYmQ2ODEyMGYyZWFhMDYyNlwiLFwiYjkzNDcwNTE2MjkxOGRjZWViMjQzNzRjNmE0NGVmNTlcIixcIjQxMTliODZhMzVjYzJiMWViNDZiMmQ4NjRlNGUzZmNjXCJdfSIsIjQ3MjNiMzA2ZDIyZGVkODA2N2YyMjYyOThkYzI1ODVmIl0=' \/>\n            <input type='hidden' autocomplete='off' class='gform_hidden' name='gform_target_page_number_2452' id='gform_target_page_number_2452' value='0' \/>\n            <input type='hidden' autocomplete='off' class='gform_hidden' name='gform_source_page_number_2452' id='gform_source_page_number_2452' value='1' \/>\n            <input type='hidden' name='gform_field_values' value='' \/>\n            \n        <\/div>\n                        <\/form>\n                        <\/div>\n\t\t                <iframe style='display:none;width:0px;height:0px;' src='about:blank' name='gform_ajax_frame_2452' id='gform_ajax_frame_2452' title='This iframe contains the logic required to handle Ajax powered Gravity Forms.'><\/iframe>\n\t\t                <script>\ngform.initializeOnLoaded( function() {gformInitSpinner( 2452, 'https:\/\/legalvision.co.nz\/wp-content\/themes\/legalv-v6\/img\/spinner.svg', true );jQuery('#gform_ajax_frame_2452').on('load',function(){var contents = jQuery(this).contents().find('*').html();var is_postback = contents.indexOf('GF_AJAX_POSTBACK') >= 0;if(!is_postback){return;}var form_content = jQuery(this).contents().find('#gform_wrapper_2452');var is_confirmation = jQuery(this).contents().find('#gform_confirmation_wrapper_2452').length > 0;var is_redirect = contents.indexOf('gformRedirect(){') >= 0;var is_form = form_content.length > 0 && ! is_redirect && ! is_confirmation;var mt = parseInt(jQuery('html').css('margin-top'), 10) + parseInt(jQuery('body').css('margin-top'), 10) + 100;if(is_form){form_content.find('form').css('opacity', 0);jQuery('#gform_wrapper_2452').html(form_content.html());if(form_content.hasClass('gform_validation_error')){jQuery('#gform_wrapper_2452').addClass('gform_validation_error');} else {jQuery('#gform_wrapper_2452').removeClass('gform_validation_error');}setTimeout( function() { \/* delay the scroll by 50 milliseconds to fix a bug in chrome *\/ jQuery(document).scrollTop(jQuery('#gform_wrapper_2452').offset().top - mt); }, 50 );if(window['gformInitDatepicker']) {gformInitDatepicker();}if(window['gformInitPriceFields']) {gformInitPriceFields();}var current_page = jQuery('#gform_source_page_number_2452').val();gformInitSpinner( 2452, 'https:\/\/legalvision.co.nz\/wp-content\/themes\/legalv-v6\/img\/spinner.svg', true );jQuery(document).trigger('gform_page_loaded', [2452, current_page]);window['gf_submitting_2452'] = false;}else if(!is_redirect){var confirmation_content = jQuery(this).contents().find('.GF_AJAX_POSTBACK').html();if(!confirmation_content){confirmation_content = contents;}jQuery('#gform_wrapper_2452').replaceWith(confirmation_content);jQuery(document).scrollTop(jQuery('#gf_2452').offset().top - mt);jQuery(document).trigger('gform_confirmation_loaded', [2452]);window['gf_submitting_2452'] = false;wp.a11y.speak(jQuery('#gform_confirmation_message_2452').text());}else{jQuery('#gform_2452').append(contents);if(window['gformRedirect']) {gformRedirect();}}jQuery(document).trigger(\"gform_pre_post_render\", [{ formId: \"2452\", currentPage: \"current_page\", abort: function() { this.preventDefault(); } }]);        if (event && event.defaultPrevented) {                return;        }        const gformWrapperDiv = document.getElementById( \"gform_wrapper_2452\" );        if ( gformWrapperDiv ) {            const visibilitySpan = document.createElement( \"span\" );            visibilitySpan.id = \"gform_visibility_test_2452\";            gformWrapperDiv.insertAdjacentElement( \"afterend\", visibilitySpan );        }        const visibilityTestDiv = document.getElementById( \"gform_visibility_test_2452\" );        let postRenderFired = false;        function triggerPostRender() {            if ( postRenderFired ) {                return;            }            postRenderFired = true;            gform.core.triggerPostRenderEvents( 2452, current_page );            if ( visibilityTestDiv ) {                visibilityTestDiv.parentNode.removeChild( visibilityTestDiv );            }        }        function debounce( func, wait, immediate ) {            var timeout;            return function() {                var context = this, args = arguments;                var later = function() {                    timeout = null;                    if ( !immediate ) func.apply( context, args );                };                var callNow = immediate && !timeout;                clearTimeout( timeout );                timeout = setTimeout( later, wait );                if ( callNow ) func.apply( context, args );            };        }        const debouncedTriggerPostRender = debounce( function() {            triggerPostRender();        }, 200 );        if ( visibilityTestDiv && visibilityTestDiv.offsetParent === null ) {            const observer = new MutationObserver( ( mutations ) => {                mutations.forEach( ( mutation ) => {                    if ( mutation.type === 'attributes' && visibilityTestDiv.offsetParent !== null ) {                        debouncedTriggerPostRender();                        observer.disconnect();                    }                });            });            observer.observe( document.body, {                attributes: true,                childList: false,                subtree: true,                attributeFilter: [ 'style', 'class' ],            });        } else {            triggerPostRender();        }    } );} );\n<\/script>\n<\/div>\n<\/div>\n<div id=\"content-next\"><!-- scroll anchor --><\/div>\n<h2><span style=\"font-weight: 400\">Buying A Business Is a Significant Investment<\/span><\/h2>\n<p><span style=\"font-weight: 400\">While it might seem obvious, buying a business is a <\/span><a href=\"https:\/\/legalvision.co.nz\/startups\/buying-a-major-asset\/\"><span style=\"font-weight: 400\">significant investment<\/span><\/a><span style=\"font-weight: 400\"> for anyone in New Zealand. You are taking on a considerable entity with its own obligations and liabilities. In addition, you will probably be parting with a lot of money in the process. If for no other reason, this should give you pause if you are tempted to rush the due diligence process.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">Given the scale of your investment, taking extra time to ensure that there are no issues with the deal or the business is a very reasonable process and one that the business should expect. <\/span><\/p>\n<div class=\"box box--icon box--info\">\n<p><span style=\"font-weight: 400\">The prospective business may be putting pressure on you to skip or rush due diligence. In that case, use this as an extra warning sign to ensure that the business checks out.<\/span><\/p>\n<\/div>\n<h2><span style=\"font-weight: 400\">Key Takeaways<\/span><\/h2>\n<p><span style=\"font-weight: 400\">There are plenty of reasons not to rush due diligence when buying a New Zealand business. Some of these include the basic fact that comprehensive due diligence takes time, usually several weeks and sometimes multiple months. Speeding through this process means your team will not get the chance they need to go back and forth with the business adequately, and to scan for red flags. Likewise, buying a business is a significant investment. As such, taking your time with the due diligence process is a reasonable and industry-standard practice.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">For more information about the due diligence process, contact <\/span><a href=\"https:\/\/legalvision.co.nz\/business-sale-purchase-lawyers-lp\"><span style=\"font-weight: 400\">LegalVision\u2019s business lawyers<\/span><\/a><span style=\"font-weight: 400\"> on <a href=\"tel:+64800005570\" class=\"AVANSERnumber dynamic-number\">0800 005 570<\/a> or complete the form on this page.<\/span><\/p>\n<h2><span style=\"font-weight: 400\">Frequently Asked Questions<\/span><\/h2>\n\n\n<div class=\"schema-faq wp-block-yoast-faq-block\"><div class=\"schema-faq-section\" id=\"faq-question-1626841008006\"><strong class=\"schema-faq-question\"><strong>How long does it take to do comprehensive due diligence?<\/strong><\/strong> <p class=\"schema-faq-answer\">It depends on the complexity of the business in question and the details of the purchase. It will usually take at least a few weeks and can take several months for large businesses.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1626841018224\"><strong class=\"schema-faq-question\"><strong>What are red flags in due diligence?<\/strong><\/strong> <p class=\"schema-faq-answer\">Red flags are possible deal-breakers. They indicate that something about the business is sufficiently alarming or urgent. Likewise, your knowledge of it may mean you do not want to buy the business at all.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1626841032878\"><strong class=\"schema-faq-question\"><strong>What are the risks when rushing due diligence?<\/strong><\/strong> <p class=\"schema-faq-answer\">The problems with rushing due diligence include not having enough time to ascertain the risks presented by a potential deal properly. You and your team might miss potential red flags if under time pressure to complete a deal. This can be a non-issue issue if the missed problems do not amount to anything serious. However, there might be a critical issue lurking in the deal\u2019s details.<\/p> <\/div> <\/div>\n","protected":false},"excerpt":{"rendered":"<p>Due diligence is a critical component for any prospective purchaser looking to buy a New Zealand business. It is essential to take the time and care necessary for proper due diligence, no matter how good the business might seem or your personal relationship with the business owner. It is industry standard to do comprehensive due<a href=\"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/\">Continue reading <span class=\"sr-only\">&#8220;3 Reasons Not To Rush Due Diligence When Buying Business in NZ&#8221;<\/span><\/a><\/p>\n","protected":false},"author":13235,"featured_media":201702,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"202186,153,1559,1176,1169,217225","_relevanssi_noindex_reason":"","editor_notices":[],"footnotes":""},"categories":[13],"tags":[25,35,54,726,791],"class_list":["post-208444","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-sale-and-purchase","tag-small-business","tag-due-diligence","tag-medium-business","tag-business-expenses","tag-buying-a-business"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Due Diligence When Buying Business in NZ | LegalVision New Zealand<\/title>\n<meta name=\"description\" content=\"Due diligence is a critical component if you are looking to buy a business in NZ. This article sets out 3 reasons not to rush due diligence.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Due Diligence When Buying Business in NZ | LegalVision New Zealand\" \/>\n<meta property=\"og:description\" content=\"Due diligence is a critical component if you are looking to buy a business in NZ. This article sets out 3 reasons not to rush due diligence.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/\" \/>\n<meta property=\"og:site_name\" content=\"LegalVision New Zealand\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/LegalVision\" \/>\n<meta property=\"article:published_time\" content=\"2021-07-21T04:21:34+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2021-08-03T08:48:56+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/2\/2021\/01\/11151125\/gabrielle-henderson-HJckKnwCXxQ-unsplash.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1572\" \/>\n\t<meta property=\"og:image:height\" content=\"1048\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Matthew Bartlett\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@LegalVision_law\" \/>\n<meta name=\"twitter:site\" content=\"@LegalVision_law\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Matthew Bartlett\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/\"},\"author\":{\"name\":\"Matthew Bartlett\",\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/#\\\/schema\\\/person\\\/9387f642e47723252dc4b6c7f3f5fe83\"},\"headline\":\"3 Reasons Not To Rush Due Diligence When Buying Business in NZ\",\"datePublished\":\"2021-07-21T04:21:34+00:00\",\"dateModified\":\"2021-08-03T08:48:56+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/\"},\"wordCount\":866,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/img.legalvision.com.au\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2021\\\/01\\\/11151125\\\/gabrielle-henderson-HJckKnwCXxQ-unsplash.jpg\",\"keywords\":[\"small business\",\"due diligence\",\"medium business\",\"business expenses\",\"buying a business\"],\"articleSection\":[\"Business Sale and Purchase Articles\"],\"inLanguage\":\"en-NZ\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#respond\"]}]},{\"@type\":[\"WebPage\",\"FAQPage\"],\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/\",\"url\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/\",\"name\":\"Due Diligence When Buying Business in NZ | LegalVision New Zealand\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/img.legalvision.com.au\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2021\\\/01\\\/11151125\\\/gabrielle-henderson-HJckKnwCXxQ-unsplash.jpg\",\"datePublished\":\"2021-07-21T04:21:34+00:00\",\"dateModified\":\"2021-08-03T08:48:56+00:00\",\"description\":\"Due diligence is a critical component if you are looking to buy a business in NZ. This article sets out 3 reasons not to rush due diligence.\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#breadcrumb\"},\"mainEntity\":[{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#faq-question-1626841008006\"},{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#faq-question-1626841018224\"},{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#faq-question-1626841032878\"}],\"inLanguage\":\"en-NZ\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-NZ\",\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#primaryimage\",\"url\":\"https:\\\/\\\/img.legalvision.com.au\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2021\\\/01\\\/11151125\\\/gabrielle-henderson-HJckKnwCXxQ-unsplash.jpg\",\"contentUrl\":\"https:\\\/\\\/img.legalvision.com.au\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2021\\\/01\\\/11151125\\\/gabrielle-henderson-HJckKnwCXxQ-unsplash.jpg\",\"width\":1572,\"height\":1048,\"caption\":\"What Are the Benefits of a Franchise Business in NZ? | LegalVision NZ\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/legalvision.co.nz\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Articles\",\"item\":\"https:\\\/\\\/legalvision.co.nz\\\/articles\\\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Business Sale and Purchase Articles\",\"item\":\"https:\\\/\\\/legalvision.co.nz\\\/category\\\/business-sale-and-purchase\\\/\"},{\"@type\":\"ListItem\",\"position\":4,\"name\":\"3 Reasons Not To Rush Due Diligence When Buying Business in NZ\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/#website\",\"url\":\"https:\\\/\\\/legalvision.co.nz\\\/\",\"name\":\"LegalVision New Zealand\",\"description\":\"LegalVision is a commercial law firm in NZ with a commitment to innovation\",\"publisher\":{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/legalvision.co.nz\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-NZ\"},{\"@type\":\"Organization\",\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/#organization\",\"name\":\"LegalVision New Zealand\",\"url\":\"https:\\\/\\\/legalvision.co.nz\\\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-NZ\",\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/#\\\/schema\\\/logo\\\/image\\\/\",\"url\":\"https:\\\/\\\/legalvision.co.nz\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2020\\\/11\\\/LegalVision_square_logo.png\",\"contentUrl\":\"https:\\\/\\\/legalvision.co.nz\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2020\\\/11\\\/LegalVision_square_logo.png\",\"width\":400,\"height\":400,\"caption\":\"LegalVision New Zealand\"},\"image\":{\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/#\\\/schema\\\/logo\\\/image\\\/\"},\"sameAs\":[\"https:\\\/\\\/www.facebook.com\\\/LegalVision\",\"https:\\\/\\\/x.com\\\/LegalVision_law\",\"https:\\\/\\\/www.linkedin.com\\\/company\\\/legalvision-group\"]},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/#\\\/schema\\\/person\\\/9387f642e47723252dc4b6c7f3f5fe83\",\"name\":\"Matthew Bartlett\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-NZ\",\"@id\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/ad516503a11cd5ca435acc9bb6523536?s=96\",\"url\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/ad516503a11cd5ca435acc9bb6523536?s=96\",\"contentUrl\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/ad516503a11cd5ca435acc9bb6523536?s=96\",\"caption\":\"Matthew Bartlett\"},\"description\":\"Matt is a Legal Content Writer at LegalVision, based in New Zealand. Matt previously worked as an employment lawyer in a top-tier firm in New Zealand, and now works at the University of Auckland as a Research Fellow in the Faculty of Law.\",\"sameAs\":[\"anthony.lieu@legalvision.com.au\"],\"url\":\"https:\\\/\\\/legalvision.co.nz\\\/author\\\/mattbartlett\\\/\"},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#faq-question-1626841008006\",\"name\":\"How long does it take to do comprehensive due diligence?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"It depends on the complexity of the business in question and the details of the purchase. It will usually take at least a few weeks and can take several months for large businesses.\",\"inLanguage\":\"en-NZ\"},\"inLanguage\":\"en-NZ\"},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#faq-question-1626841018224\",\"name\":\"What are red flags in due diligence?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Red flags are possible deal-breakers. They indicate that something about the business is sufficiently alarming or urgent. Likewise, your knowledge of it may mean you do not want to buy the business at all.\",\"inLanguage\":\"en-NZ\"},\"inLanguage\":\"en-NZ\"},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/legalvision.co.nz\\\/business-sale-and-purchase\\\/due-diligence-buying-business\\\/#faq-question-1626841032878\",\"name\":\"What are the risks when rushing due diligence?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"The problems with rushing due diligence include not having enough time to ascertain the risks presented by a potential deal properly. You and your team might miss potential red flags if under time pressure to complete a deal. This can be a non-issue issue if the missed problems do not amount to anything serious. However, there might be a critical issue lurking in the deal\u2019s details.\",\"inLanguage\":\"en-NZ\"},\"inLanguage\":\"en-NZ\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Due Diligence When Buying Business in NZ | LegalVision New Zealand","description":"Due diligence is a critical component if you are looking to buy a business in NZ. This article sets out 3 reasons not to rush due diligence.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/","og_locale":"en_US","og_type":"article","og_title":"Due Diligence When Buying Business in NZ | LegalVision New Zealand","og_description":"Due diligence is a critical component if you are looking to buy a business in NZ. This article sets out 3 reasons not to rush due diligence.","og_url":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/","og_site_name":"LegalVision New Zealand","article_publisher":"https:\/\/www.facebook.com\/LegalVision","article_published_time":"2021-07-21T04:21:34+00:00","article_modified_time":"2021-08-03T08:48:56+00:00","og_image":[{"width":1572,"height":1048,"url":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/2\/2021\/01\/11151125\/gabrielle-henderson-HJckKnwCXxQ-unsplash.jpg","type":"image\/jpeg"}],"author":"Matthew Bartlett","twitter_card":"summary_large_image","twitter_creator":"@LegalVision_law","twitter_site":"@LegalVision_law","twitter_misc":{"Written by":"Matthew Bartlett","Est. reading time":"4 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#article","isPartOf":{"@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/"},"author":{"name":"Matthew Bartlett","@id":"https:\/\/legalvision.co.nz\/#\/schema\/person\/9387f642e47723252dc4b6c7f3f5fe83"},"headline":"3 Reasons Not To Rush Due Diligence When Buying Business in NZ","datePublished":"2021-07-21T04:21:34+00:00","dateModified":"2021-08-03T08:48:56+00:00","mainEntityOfPage":{"@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/"},"wordCount":866,"commentCount":0,"publisher":{"@id":"https:\/\/legalvision.co.nz\/#organization"},"image":{"@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#primaryimage"},"thumbnailUrl":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/2\/2021\/01\/11151125\/gabrielle-henderson-HJckKnwCXxQ-unsplash.jpg","keywords":["small business","due diligence","medium business","business expenses","buying a business"],"articleSection":["Business Sale and Purchase Articles"],"inLanguage":"en-NZ","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#respond"]}]},{"@type":["WebPage","FAQPage"],"@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/","url":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/","name":"Due Diligence When Buying Business in NZ | LegalVision New Zealand","isPartOf":{"@id":"https:\/\/legalvision.co.nz\/#website"},"primaryImageOfPage":{"@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#primaryimage"},"image":{"@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#primaryimage"},"thumbnailUrl":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/2\/2021\/01\/11151125\/gabrielle-henderson-HJckKnwCXxQ-unsplash.jpg","datePublished":"2021-07-21T04:21:34+00:00","dateModified":"2021-08-03T08:48:56+00:00","description":"Due diligence is a critical component if you are looking to buy a business in NZ. This article sets out 3 reasons not to rush due diligence.","breadcrumb":{"@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#breadcrumb"},"mainEntity":[{"@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#faq-question-1626841008006"},{"@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#faq-question-1626841018224"},{"@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#faq-question-1626841032878"}],"inLanguage":"en-NZ","potentialAction":[{"@type":"ReadAction","target":["https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/"]}]},{"@type":"ImageObject","inLanguage":"en-NZ","@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#primaryimage","url":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/2\/2021\/01\/11151125\/gabrielle-henderson-HJckKnwCXxQ-unsplash.jpg","contentUrl":"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/2\/2021\/01\/11151125\/gabrielle-henderson-HJckKnwCXxQ-unsplash.jpg","width":1572,"height":1048,"caption":"What Are the Benefits of a Franchise Business in NZ? | LegalVision NZ"},{"@type":"BreadcrumbList","@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/legalvision.co.nz\/"},{"@type":"ListItem","position":2,"name":"Articles","item":"https:\/\/legalvision.co.nz\/articles\/"},{"@type":"ListItem","position":3,"name":"Business Sale and Purchase Articles","item":"https:\/\/legalvision.co.nz\/category\/business-sale-and-purchase\/"},{"@type":"ListItem","position":4,"name":"3 Reasons Not To Rush Due Diligence When Buying Business in NZ"}]},{"@type":"WebSite","@id":"https:\/\/legalvision.co.nz\/#website","url":"https:\/\/legalvision.co.nz\/","name":"LegalVision New Zealand","description":"LegalVision is a commercial law firm in NZ with a commitment to innovation","publisher":{"@id":"https:\/\/legalvision.co.nz\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/legalvision.co.nz\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-NZ"},{"@type":"Organization","@id":"https:\/\/legalvision.co.nz\/#organization","name":"LegalVision New Zealand","url":"https:\/\/legalvision.co.nz\/","logo":{"@type":"ImageObject","inLanguage":"en-NZ","@id":"https:\/\/legalvision.co.nz\/#\/schema\/logo\/image\/","url":"https:\/\/legalvision.co.nz\/wp-content\/uploads\/sites\/2\/2020\/11\/LegalVision_square_logo.png","contentUrl":"https:\/\/legalvision.co.nz\/wp-content\/uploads\/sites\/2\/2020\/11\/LegalVision_square_logo.png","width":400,"height":400,"caption":"LegalVision New Zealand"},"image":{"@id":"https:\/\/legalvision.co.nz\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/LegalVision","https:\/\/x.com\/LegalVision_law","https:\/\/www.linkedin.com\/company\/legalvision-group"]},{"@type":"Person","@id":"https:\/\/legalvision.co.nz\/#\/schema\/person\/9387f642e47723252dc4b6c7f3f5fe83","name":"Matthew Bartlett","image":{"@type":"ImageObject","inLanguage":"en-NZ","@id":"https:\/\/secure.gravatar.com\/avatar\/ad516503a11cd5ca435acc9bb6523536?s=96","url":"https:\/\/secure.gravatar.com\/avatar\/ad516503a11cd5ca435acc9bb6523536?s=96","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/ad516503a11cd5ca435acc9bb6523536?s=96","caption":"Matthew Bartlett"},"description":"Matt is a Legal Content Writer at LegalVision, based in New Zealand. Matt previously worked as an employment lawyer in a top-tier firm in New Zealand, and now works at the University of Auckland as a Research Fellow in the Faculty of Law.","sameAs":["anthony.lieu@legalvision.com.au"],"url":"https:\/\/legalvision.co.nz\/author\/mattbartlett\/"},{"@type":"Question","@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#faq-question-1626841008006","name":"How long does it take to do comprehensive due diligence?","acceptedAnswer":{"@type":"Answer","text":"It depends on the complexity of the business in question and the details of the purchase. It will usually take at least a few weeks and can take several months for large businesses.","inLanguage":"en-NZ"},"inLanguage":"en-NZ"},{"@type":"Question","@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#faq-question-1626841018224","name":"What are red flags in due diligence?","acceptedAnswer":{"@type":"Answer","text":"Red flags are possible deal-breakers. They indicate that something about the business is sufficiently alarming or urgent. Likewise, your knowledge of it may mean you do not want to buy the business at all.","inLanguage":"en-NZ"},"inLanguage":"en-NZ"},{"@type":"Question","@id":"https:\/\/legalvision.co.nz\/business-sale-and-purchase\/due-diligence-buying-business\/#faq-question-1626841032878","name":"What are the risks when rushing due diligence?","acceptedAnswer":{"@type":"Answer","text":"The problems with rushing due diligence include not having enough time to ascertain the risks presented by a potential deal properly. You and your team might miss potential red flags if under time pressure to complete a deal. This can be a non-issue issue if the missed problems do not amount to anything serious. However, there might be a critical issue lurking in the deal\u2019s details.","inLanguage":"en-NZ"},"inLanguage":"en-NZ"}]}},"_links":{"self":[{"href":"https:\/\/legalvision.co.nz\/api\/wp\/v2\/posts\/208444","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/legalvision.co.nz\/api\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/legalvision.co.nz\/api\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/legalvision.co.nz\/api\/wp\/v2\/users\/13235"}],"replies":[{"embeddable":true,"href":"https:\/\/legalvision.co.nz\/api\/wp\/v2\/comments?post=208444"}],"version-history":[{"count":3,"href":"https:\/\/legalvision.co.nz\/api\/wp\/v2\/posts\/208444\/revisions"}],"predecessor-version":[{"id":208960,"href":"https:\/\/legalvision.co.nz\/api\/wp\/v2\/posts\/208444\/revisions\/208960"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/legalvision.co.nz\/api\/wp\/v2\/media\/201702"}],"wp:attachment":[{"href":"https:\/\/legalvision.co.nz\/api\/wp\/v2\/media?parent=208444"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/legalvision.co.nz\/api\/wp\/v2\/categories?post=208444"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/legalvision.co.nz\/api\/wp\/v2\/tags?post=208444"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}