Top Tech Due Diligence Consulting Firms – Technical Due Diligence
Tech due diligence is essential for any private wquity group or business that plans on buying or investing in a company that relies heavily on technology.
By performing the necessary research and testing, you can identify key areas of your business that need to be optimized in order to stay competitive once you invest. This includes things like website design, mobile application development, data storage and security measures, as well as email marketing campaigns.
By identifing any problem areas or poor KPIs early on in the acquisition process, you will ensure a smoother purchase and business transition while also reducing potential risk associated.
Top Tech Due Diligence Companies
Benchspark
BenchSpark is a specialist digital advisory helping private equity firms and portfolio companies to identify, quantify, and execute value creation opportunities. We provide expert analysis, actionable advice, and trusted data, guiding your decisions at every stage of the investment cycle. Our senior team are seasoned digital business leaders, with hands-on experience both managing PE-backed brands and working within PE funds. We are techy enough to get the right data, and commercial enough to transform it into actionable insights.
Bain
The best deal decisions require more than commercial diligence. We assess a company’s software or e-commerce platform—from its product functionality and infrastructure to its security—to identify opportunities, avoid risk, and ultimately determine a target’s full potential.
Pensar
Pensar deep dive analysis combines extensive industry expertise with meticulous attention to detail to help guide the investment decisions of our private equity and corporate clients
Intechnica
Intechnica help you understand the technology risk and value creation potential of your investment. For M&A, our IT Due Diligence process combines specific knowledge of the technology industry with extensive insight into what matters to private equity.
Because we’re trusted to deliver by global brands, we know what great technology looks like. We rapidly produce clear and robust technical reports that focus on the commercial impact of a target’s technology, benchmarked against the hundreds of companies we have assessed.
What is Tech Due Diligence?
Tech due diligence is a process of conducting thorough research and analysis of a company or technology before investing in it. It can help you assess the risks associated with the investment, as well as determine if the potential rewards are worth taking on.
The goal of tech due diligence is to arm yourself with information that will allow you to make an informed decision about whether or not to invest in a particular product or company.
Due Diligence Checklist
Here is a tech due diligence checklist to help you be sure that the company or product you’re considering investing in is worth your time and money:
Do I know who founded and runs the company? Are they reputable and have any negative reviews online?
Does the company have a valid domain name registered and active? Are all website content, images, videos, etc. copyrights / licensed properly?
Is there evidence of public facing marketing efforts (social media presence/advertising, press mentions)? Have visits from potential investors or keynote speakers been announced yet?
What are the current financial metrics (operating income statement, balance sheet) for historical periods dating back at least three years (~3x annual growth rate)?
Do shareholders appear to be healthy overall with no recent issues reported publicly on SEC filings & news articles mentioning lawsuits related to their business model/products within past six months.
Has every aspect of their technology stack been independently audited by an appropriately qualified third-party consultant(s) – e.g., web security/data privacy; cloud computing services; database management system(s); application development platforms; email delivery technologies…
