Provides advice on how to perform due diligence and in what areas it is necessary for a U.S. company. Includes information on the U.S. Commercial Service International Company Profile service.
Last Published: 7/5/2017

It is always advisable to conduct due diligence on potential partners before signing a contract. Negotiate from the position of your partner and give your partner clear incentives to honor the contract. As stated in the previous section, a good partner is an important ally in protecting IP rights, but permitting your partner to register your IP rights on your behalf generally is inadvisable. Doing so may create a risk that your partner will list itself as the IP owner and fail to transfer the rights should the partnership end.

Closely monitor your cost structure and reduce the margins (and the incentive) of potential bad actors. Projects and sales in Brazil require constant attention. Work with legal counsel familiar with Brazilian laws to create a solid contract that includes non-compete clauses and confidentiality/non-disclosure provisions.

In Brazil, the U.S. Commercial Service can provide U.S. companies with lists of well-known and respected credit rating companies and law firms that can conduct credit checks on potential customers or provide important legal advice. Additionally, the U.S. Commercial Service offers U.S. companies detailed background information, including visits to the target company, through the International Company Profile (ICP) service.

For information, please visit website.

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting

Brazil Trade Development and Promotion