The basic mantra for a sound investment decision is Investigate and then Invest. Success of Investments, CXO level appointments, Mergers, Acquisitions and the like are very much dependant on the outcome of the credibility and integrity of a company and its management.
Broadly, AGR investigates a company’s background, background of its decision makers, its reputation and relationships with various stakeholders, credibility with suppliers, perceived image with consumers, legal matters while undertaking credibility checks. AGR checks ethical approach of the company and decision makers by evaluating prior personal wrongdoing, misconduct, ethical lapses among others. Behavioural patterns, close associations and integrity also throw light about the mind of the individual which are critical to assess the motivations, his/her convictions on governance and the resultant decision making capability.
Each and every check is unique and there is no one rigid framework to find grey areas that may hinder the success of the investment. Broadly, the key areas that are covered in AGR’s checks include, but not limited to.
- Check on Business Activities (operational check)
- Reputation check on company or key individual
- Litigation and regulatory check
- Financial stability/growth check
We gather information from authentic sources and validate them by conducting investigation with people closely connected with the target. The key to establish the truth is to go beyond the obvious information to search for unstated information discreetly with close associates.