Due diligence works both ways and it pays to do your homework on potential buyers and to ask them to prove their claims, or even ask them to put some money down, before proceeding.
I don't know the company or what they do but cynical me can also imagine a third party pretending to want to acquire in order to gain inside knowledge.
>or even ask them to put some money down, before proceeding.
Yep. Just look at mature markets like housing. You don't see anyone wasting time without a deposit, which will be kept if the buyer doesn't go through with the closing.
Won't put down a earnest money deposit? They aren't serious. For all you know the do this knowing they won't pull the trigger, but to justify their job/identifying an opportunity, then being the hero when they "find something off" and save the company from a bad deal (which they manufactured in the first place)
Remember having a meeting with a charity org. They wanted to spend quite a bit of money on a CRM implementation.We had a few different companies in a room.After going through the entire block of ideas of what and how they want,my manager asked them: have you got money for this? Turns out their sponsor promised the money but then there are conditions and etc..This was for a simple dev project...
I don't know the company or what they do but cynical me can also imagine a third party pretending to want to acquire in order to gain inside knowledge.