SCA-PARTNER

Market Entry-Trade-Investment

Partner Due Diligence

Conducting a thorough investigation into your agents, distributors, importers, JV partners, part-time export managers and public and private sector customers, vendors, suppliers, contractors, service providers, and any other third parties connected to
your business, so you can:

make more informed decisions about your partnerships, based on relevant data
evaluate potential threats to your business
mitigate these risks

This process includes collecting data, substantiating and confirming the information, and assessing any warning signs or other issues your investigation uncovers.

There are a number of details that effective partner due diligence can reveal about your business associates, including:

whether the entity or individual is indeed real and legitimate, through background and identity checks
whether they have the necessary experience in your industry
potential conflicts of interest
brand and product quality
the entity’s or individual’s financial health
a history of money laundering, bribery, corruption or other legal issues

You also need to pay special attention to whether your partner or potential partner organisation:

operates with integrity and transparency, and enjoys a positive reputation in the market
maintains relationships with government officials or other politically exposed persons (PEPs)
makes unusual financial demands in your dealings, such as asking for anonymity of transactions, requesting an unconventional compensation structure, using non-standard payment methods or requiring advanced payment for certain transactions
lacks the resources to provide certain services

To protect your business from financial, reputation and regulatory risk and liability, it’s essential to be aware of such particulars before continuing or entering into a relationship with any third parties.