Proprietary solution

HR Due Diligence - HR Audit and Investment Risks

"Planning a merger or acquisition? Assess the health of the target company’s team. A financial audit alone isn’t enough to evaluate a business’s stability. We conduct a comprehensive audit of the company’s health from an HR perspective, providing investors with hard data to inform their decisions. We minimize the risk of hidden costs and identify threats related to the departure of key talent.

Artur Migoń

Artur Migoń

Vice President of the Board

Table of contents

The finances add up. But what about the people?

Traditional Due Diligence focuses on numbers, law, and taxes. That's not enough. Nowadays, a company's value lies in its know-how and human capital. If key employees leave after the acquisition, your investment loses its meaning. If it turns out that salaries are undervalued by 30%, your business plan will collapse. HR Due Diligence is your insurance policy against personnel risk.

Why is it worth examining "soft" data?

A fund buys a company for 50 million. Accounts checked, contracts analyzed. Three months later, the sales director, who generates 60% of revenue, resigns. Half the team leaves with him. The investment suddenly loses value. This is not fiction, but the everyday reality of the M&A market without HR audit.

Our methodology is based on three pillars:

  1. Documentation analysis:We look for anomalies in the organizational structure, turnover history, and contracts of key employees.

  2. Surveys: We conduct structured surveys among managers and employees. The data shows numbers, while the survey results reveal emotions, loyalty, and hidden conflicts.

  3. Benchmarking:We compare salaries and organizational culture with the market. We identify areas where personnel risks exist and may threaten the transaction's value.

What exactly do we check?

Salary survey

Are the salaries in the acquired company market-competitive? We check if you will need to immediately raise salaries to retain people.

Employer branding

What does the market say? We verify opinions about the company. We check if the employer brand is an asset or a burden hindering recruitment.

Investment potential

Is it possible to grow in this location? We analyze the educational market, talent availability, and the condition of competitors in the region.

Satisfaction and engagement

What is the atmosphere and activity of the team? We examine moods, identify causes of inefficiency, and risks of employee turnover. We indicate the direction of personnel investments before the transaction is finalized.

Frequently asked questions about HR Due Diligence

HR Due Diligence is a detailed audit of human capital in a company that is the subject of a transaction (purchase, merger, or investment). This process goes beyond the standard legal analysis of employment contracts. Its goal is to identify personnel risks that may affect the company's valuation. We examine the organizational structure, actual salary costs, key employee competencies, and organizational culture. Without this audit, the investor risks the so-called "talent drain" after the acquisition or the need to incur huge restructuring costs that they were unaware of during negotiations.

Secure your transaction

Schedule a conversation with our

Vice President of the Board

Artur Migoń

Artur Migoń

Vice President of the Board

Are you planning an acquisition, merger, or investment? Consult with an Antal expert to understand the real value of the human capital of the acquired company.

Over 1000 satisfied clients