Every time someone signs a deal on behalf of your company with another entity, you run the risk of your company`s reputation being tarnished by association. Imagine, for example, that your marketing department had agreed to sponsor a football team to give you maximum publicity and later the owner of the company behind that team was arrested for money laundering, funding of terrorism, drug trafficking, paedophilia, drug dealing, bribery, corruption or any one of a long list of unsavoury practices that unfortunately do occur in this world. Imagine. And your company`s name and logo are all over the shocking media reports, even though you had nothing to do with whatever criminal activities they had been conducting and had always conducted your business in a legal and compliant way. A devastating thought, but it happens - to companies, governments and banks. Not just with sponsorship deals, but with suppliers and clients too. If you can`t prove that you did your homework on these people before you funded them or took payments from them, you could (at the very least) face a lot of awkward questions from both the media and the legal authorities - not to mention your own employees. You may need to involve PR specialists and could lose major clients who don`t want their name to be dragged in to the fiasco. Thankfully, there are several companies around the world who can help you prevent this scenario. Cedar Rose
is one of them, we specialise in the MENA region but there are Due Diligence specialists for every region. Choose a good one. It may seem expensive to add the cost of Due Diligence to your next big deal, but it could be an awful lot more costly not to.