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Due Diligence is an investigation or audit of a potential investment, with a view to confirm all material facts. Purchase an asset usually dependent on the result of due diligence analysis. This includes reviewing all financial records plus anything else deemed material to sales. Generally, due diligence refers to the care a reasonable person should take before entering into an agreement or a transaction with another party. seller could also perform a due diligence analysis on the buyer items that may be considered are the buyers ability to purchase ,as well as other items that would affect the purchase entity or the seller after the sales has been completed .