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LEGAL AUDIT OR DUE DILIGENCE OF BUSINESS IN THE CZECH REPUBLIC
An audit is a systematic review of a company’s performance. It is carried out in order for the company to be ready for inspection by regulatory authorities. Audit is carried out in different areas of the company.
What services are included in the legal audit of a business?
- checking the status of documents for compliance with the law
- verification of the correctness of the conclusion of contracts
- checking the availability of all permits and the correctness of their preparation
- verification of corporate documents of the company
- verification of compliance with labor laws
- accounting check
- verification of tax returns
- identifying risks, assessing the risks of challenging concluded agreements and preparing legal opinions on investment objects
- analysis of disputes, lawsuits
- preparing the company for sale
Depending on this, there are at least two types of business verification
- Full report Due diligence (full scope) – the most detailed and complete analysis of all submitted documents, open sources of information, as well as sources of information with limited access.
- Selective report Due diligence (red flag report) – only those questions that are posed for research are checked.
DUE DILIGENCE – LEGAL AUDIT OF BUSINESS
Based on the results of the business audit, you will receive a conclusion that will give you the following:
- Your desire to acquire a business in general can change dramatically
- You can get arguments to reduce the cost of the acquired business.
- You can apply legal mechanisms in a timely manner to prevent in the future various kinds of problems with tax, with contractors, with employees, investors, etc.
Order dudelegence business (company) – frequent cases:
- purchase and sale of corporate rights to the company
- analysis of public offerings of this security on the stock exchange (IPO)
- Mergers and Acquisitions of Businesses (M&A)
- investment attractiveness of the company
- joint venture of two or more founders
- financing or lending to a business or its assets
- provision of reimbursable financial assistance, including interest
Law Firm Prikhodko and partners provide comprehensive due diligence services business – due diligence. Before buying a company, be sure to understand its condition, including legal, tax, accounting, financial and other risks. Due diligence is carried out both in the interests of the business owner (Vendor Due Diligence) and the potential investor (Buyer Due Diligence).
Calculate the cost of services
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Are you currently in Ukraine?
2 question
Are you currently in the Czech Republic?
3 question
What legal due diligence services do you need?
4 question
Do you need a consultation urgently?
Is company registration possible without a personal visit to the Czech Republic?
Yes. The procedure is fully adapted for remote launch. All legal actions are performed on the basis of a power of attorney, notarized and, if necessary, apostilled in your country.
Why shouldn't you use a share capital of 1 crown?
Although the law allows a share capital of 1 crown, minimal capital reduces trust from banks and European counterparties, and also creates problems when passing banking compliance (AML). To confirm the seriousness of intentions, it is recommended to contribute an amount of at least 10,000 – 100,000 crowns, which can be used for the company’s operational needs after opening the account.
What is the difference between an s.r.o. and a sole proprietor (OSVČ)?
Apart from the issue of limited liability, the key difference lies in taxation. OSVČs in the Czech Republic are eligible for a single tax regime (paušální daň), which in 2026 requires a fixed monthly payment of between 9,162 and 27,139 crowns, depending on income. However, the status of a sole proprietor limits business scaling and complicates interaction with large B2B clients, who prefer to work with VAT payers in the form of an s.r.o.
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