An industrial product manufacturer sought to establish a joint venture with a Chinese company in Shandong Province. Raydwell sent a consultant team to the target company and completed the following work at the site:

Collecting and reviewing the background information of the target company, such as business licence, articles of associations, shareholders’ minutes and resolutions, etc.;

Reviewing the financial statements and the supporting accounting records;

Interviewing the management of the target company regarding the findings of the above investigations.

Two weeks after the fieldwork, Raydwell presented a due diligence report covering all the aspects of the target company’s operations. Based on past experience, Raydwell also made recommendations at the end of the report to share with the client what could be done to avoid potential risks and to maximize the investment return.

A number of major financial and managerial issues were identified. The client avoided the possible risks and was able to reach a better deal with the joint venture partner.

For more information on Raydwell's expertise in the Chinese marketplace, please contact us.