Financial Crime World

Japan’s Corporate Due Diligence: A Vital Step in Successful M&As

Evaluating corporate value accurately is a crucial step in the success of mergers and acquisitions (M&As), often overlooked by companies entering the Japanese market. Not only do buyer-side firms need to understand their counterparty’s situation and approximate value, but seller-side firms must also be aware of these factors to negotiate effectively.

The Importance of Due Diligence

In Japan, where language barriers and cultural differences can complicate M&As, it is essential for foreign investors and managers to have a deep understanding of the target company’s financial situation. This requires comprehensive due diligence support services tailored to meet the diverse needs of clients.

Comprehensive Support Services

A Tokyo-based accounting firm offers due diligence support services that provide an English valuation report and direct explanations to facilitate smooth communication with clients. Their professionals are skilled in reviewing financial statements written in Japanese and translating them into English as needed.

  • Advantages: Comprehensive support throughout the due diligence process, competitive pricing compared to Big4 audit firms
  • Services: Reviewing financial statements written in Japanese, translation services, negotiation support for M&As

Target Clients

The firm’s services cater specifically to clients who:

  • Are hesitant to hire professionals due to high service fees for due diligence
  • Acquire businesses in Japan and require expertise in reviewing financial statements written in Japanese
  • Need to progress with acquisition procedures while negotiating with the counterparty in Japan
  • Require simple investigations at a reasonable price without a full-package service or detailed report

Conclusion

With its expertise in Japanese corporate due diligence, this accounting firm is well-positioned to support clients navigating the complexities of M&As in Japan. For more information on their service fees, please visit their website.

By choosing this firm for your due diligence needs, you can ensure a successful and smooth M&A process while staying within your budget.