What we should think about while acquiring the business of others or when selling our business to others? What should we think about when we are going to be the partner of some one? These are very obvious questions that come in the mind of any person when he or she is taking any of such decision. The answer is very simple and well known. Two questions shall be asked before making such a decision. The first one is that, what is the value of the business, not in terms of book value but in terms or market value and economic Value. Second what should be the right price to pay to acquire the business? However being as a lay person, obtaining answer of both the question is quite impossible. To know the value of Business, someone must know the values of its Assets and Liabilities as shown by books and those not shown by books. We called them as hidden Assets and Liabilities. Only a professional person like a chartered accountant may know what are the hidden Assets and Liabilities. These are never disclosed by seller of the business and at any later date may put the buyer into huge losses. Same as to calculate the price to be paid, various technical methods are used so that actual price can be known. Hence Due diligence is conducted by any professional who gives consideration to the all aspects of the business including Tax Aspects. This article is going to enlighten the various aspects of Due Diligence from the prospective of Different users of Due Diligence concept.

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Keywords: Due Diligence, Merger & Acquisition, Global Aspects, Economic Value.