Financial Due Diligence (FDD) is an examination and analysis of a company’s financial information to assess its overall financial health and performance. The purpose of FDD is to gain a comprehensive understanding of a company’s financial situation and to identify any potential risks or concerns.
FDD typically involves the review of historical financial statements, including balance sheets, income statements, and cash flow statements. It also includes analysis of the company’s financial performance, including profitability, liquidity, and solvency, as well as an evaluation of the company’s financial systems, processes, and controls.
