Due Diligence in Mergers and Acquisitions
BCF offers turnkey consulting services whenever clients are contemplating changes to their corporate structure, whether by creating subsidiaries or through mergers, acquisitions or reverse takeovers.
Whenever a transaction involves a business whose workforce includes foreign nationals, a proper due diligence is vital. Omitting this step may cause employees to lose their immigration status following the transaction and may also result in serious violations of applicable laws and regulations, potentially exposing employers to various civil and penal sanctions. In addition to maintaining valid work permits, employers must be made aware of other compliance issues including the retention of specific official documents, anti-discrimination provisions, document fraud or misuse and successor liability for predecessor non-compliance. They must also be prepared for a formal audit.
Our team stresses the importance of diligently controlling employee’s immigrant and non-immigrant status. In many transactions, a business’s workforce is a valuable and coveted asset. Conducting a thorough review by our team will confirm whether or not the target’s staff will be eligible to work after the transaction and will determine all obligations that the successor’s status entails.