The current Netherlands boss will take the Old Trafford hot seat following the World Cup after being chosen as the full-time successor to David Moyes, who was sacked in April.
Former United goalkeeper Schmeichel believes that the 62-year-old's achievements mark him out as one of the few "top shelf" coaches in the game, and is confident he can put the Red Devils back on track after a season where they finished seventh in the league and ended trophy-less.
"Name me someone bigger and who has done more in football,” said Schmeichel at the Sony Soccer Clinic held at the Suntec Convention Centre in Singapore on Sunday.
"The big clubs will always talk about the same names such as Ancelotti, Mourinho, and Wenger. Louis Van Gaal is always in there as well.
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"He has his own style and is a very determined man. He knows exactly what he wants. He’s got direction, the ability and experience at big clubs such as Barcelona and Bayern Munich.
"He's also with the Dutch team now, a team that could possibly win the World Cup.
"So for me, you can't go bigger than that. This is one of the very few on the top shelf."
The former Denmark captain told 200 fans at the Soccer Clinic of his confidence that Van Gaal and United will continue to attract top-notch players, despite missing out on Champions League football next season.
"He’s a big enough name and I know the list that he’s given Ed Woodward," Schmeichel assured.
"All of them are in talks and are willing to join Manchester United. So you can argue that United still has the brand, the players still want to come here.
"Is it going to work? I don’t know. We’ll have to wait and see. It’s a long summer."
Also joining the new Old Trafford management team is fellow United legend, Ryan Giggs, who has taken up the position as Van Gaal’s right-hand man - and Schmeichel believes the appointment is a wise one.
"Ryan Giggs has been at Manchester United for a very long time, even before I arrived,” he continued. "I’ve watched him in a few games in the last season. This guy is eternally young!
"To have him stay and become the assistant manager is a fantastic thing for everyone.
"Van Gaal has picked the right guy to assist him because he needs to understands what Manchester United is. He’s in a hurry to understand that, and the sooner the better."
But while the Dane is confident about United’s future under the leadership of Van Gaal and Giggs, he remained tightlipped about naming any potential world-class prospects that should come in this summer, including Andres Iniesta who was mentioned by David De Gea as an ideal signing.
"Manchester United would like to have world class players," he added. "But I say it would be nice to have Iniesta, I don’t know how many recorders you have here and you’re going to read that Schmeichel says we have to buy Iniesta and I’m not saying that.
"With the situation United is in at the moment, I think we need some peace and quiet and let the management work to get the players Van Gaal has asked for."