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β Due DiligenceRisks
1. Competition: The heating, cooling, and ventilation services market is highly competitive and Comfort Systems USA faces competition from both established players and new entrants.
2. Economic Conditions: Comfort Systems USA is exposed to changes in economic conditions, particularly with customers who are affected by economic downturns.
3. Currency Exchange Rate Volatility: Since Comfort Systems USA operates in several countries, it is exposed to the risks associated with volatile exchange rates.
4. Regulatory Environment: Comfort Systems USA may be subject to regulations in different jurisdictions, making it difficult to operate efficiently and potentially cut into profit margins.
5. Supply Chain Risks: Comfort Systems is dependent on a steady supply of components and possible supplier disruptions. These could cause a delay in production and delivery.