Due diligence in Africa Stodacom making a mark

March 10, 2013 - PRLog -- Kampala - Foreign Direct Investment has sky rocketed on the African continent, this has prompted most investors to engage in doing due diligence on their partners. In Africa we have seen a trend of honest partners coming up, mostly in information technology, pharmaceuticals and oil & gas. At Stodacom we have done due diligence for our many clients in almost all African countries though some countries have received a good number of investors, countries like Kenya, Angola, Mauritius, Nigeria,Ghana are still in the lead other new comers include Ethiopia, Gambia and Niger which are picking up steadily. There are many reasons why a company should conduct due diligence on their partners, a good number of African companies make changes to the directorship many times in a single year so keeping these companies in check will help you know your partner better. The second reason why a due diligence is a MUST most companies in African are owned by PEP ( Politically Exposed Persons) who are most likely to be exposed to conflict of interest and engage in some sort of corruption so keeping truck of your partners will keep your company clean of corruption allegations. Stodacom as company has performed many due diligence and individual checks in big and small quantum cases. The third reason why due diligence is important in Africa, most companies are small medium entities whose customers are usually government agencies of big firms these companies tend not to lose their clients by offering gifts and donations to their big clients in order to stay on providers list hence corruption allegations and scandals. All other good reasons for due diligence in Africa will feature in our next article