California business owners need to make sure that their companies are as safe from a cyber attack as possible. This is true whether an individual started a company from scratch or has recently acquired or merged with an existing organization. One way to ensure that a company is secure is to do due diligence prior to merging with another business.

During the process of completing a transaction, it is a good idea to have a security professional as part of the due diligence team. This person can look for security issues and find ways to deal with them before a transaction is complete. The use of a secure data room can make it less likely that another person or organization will obtain details of the merger or acquisition. Information such as how much the deal will be worth or other intellectual property should be protected at all costs during a merger or acquisition.

In some cases, the two companies that are merging can work together to ensure that data will be secure after the transaction is complete. They should look to see if there are any issues transferring data to new servers or how to backup files before they are transferred. The acquiring company should make sure that it has the capacity to handle the extra data it will likely be receiving.

Even though the transaction might be a friendly acquisition, it is important that data security be a top priority. Otherwise, employee or customer data could be exposed to people who may use it to commit identity theft. Security professionals may be able to vet the deal to ensure that this doesn’t happen. An attorney may be able to represent a business in the event that a data breach leads to legal action.