What is stage one and two surgery center due diligence?

The phrase due diligence is actually a misnomer. It was originally used in connection with public underwriting. The principal liability section of the Securities Act section 11 establishes a defense in securities lawsuits for misleading prospectuses for certain persons, like underwrites, if they exercise due diligence in investigating the company before selling its securities. The term is now more broadly used to mean the investigation that an investor or a buyer undertakes of a prospective seller. The due diligence process is extremely important as it affects the buyer’s decision whether to invest or acquire the company, what terms and for what prices.¬†Additionally, this allows you to get a very deep and wide understanding of your business because you must be able to present your business in the most favorable light. The goals of the prepare to sell my ASC stage is to prepare your surgery center so it looks as appealing as possible to a potential buyer. Additionally, the speed of the process, the efficiency of the process and overall buyer perception are three big components that you want to manage. Here is how we get a handle on that. Being organized and proactive vs reactive helps those three things happen. This also allows you to get in front of any potential weaknesses that you might have or see and allow you to craft the message around the options you see around how these could be strengthened. Stage one and stage two data are essentially the paperwork stages and can be exchanged remotely and easily. ¬†We use a virtual data room with folders and give different levels of access. Some of the buyers will argue that doing due diligence is a costly process for them and want some sort of no shop or standstill agreement in place. This is not real in our experience and we are against standstill agreements in most situations without a break-up fee, but that is another topic for another day. Proactively providing the paperwork will help rebut the notion that this process is expensive for the buyers. As we have stated there are two stages here, sometime depending on the size and scope of the business we are selling and the buyers we will actually combine the stage one and two but with them broken out you can wait to give more information as you get more comfortable with knowing that the potential buyer is a real buyer. Stage one Physician Information: Curriculum vitae with D.O.B. Corporate Entity Structure: List of all shareholders. Percentage ownership by type of security. Description of corporate parent and subsidiary ownership structure. (This information will help us prepare an ownership and corporate structure chart that will enable us to...