Technical Due Diligence

Carrying out technical due diligence when investing in or acquiring a technology company is of paramount importance as it provides invaluable insights into the target company's technological assets, risks and overall health. A thorough examination of the company's technical infrastructure, software architecture, technology and product processes, team structure and skills, and code quality, helps to understand the true value of the investment or acquisition as well as potential challenges that lie ahead. Identifying potential technological pitfalls can prevent costly surprises.

We can assist with small technical due diligences; as well as with complex due diligences where you acquire multiple entities in one transaction; or where your target is a loosely integrated group. We regularly carry out a technical due diligence of targets that are groups of companies consisting of multiple fairly independent entities with entirely different tech stacks, teams and processes.

Where requested we also advise on post investment technical mitigations or on post-acquisition integration options.

One of our USPs is that we  routinely look at source code. We employ experts in most programming languages and have developed a unique approach to reviewing code that allows us to verify technical and architectural points by investigating the source code in hours, not days. Several of our customers have fed back that our approach gives them more confidence that information provided by a target company's engineers is matched by the reality of source code. Without confirming some of the findings in source code many traditional technical due diligence exercises rely too much only on the word of target company's CTO or engineers. That source code verification forms an integral part of our technical due diligence work for PE firms, but we are also regularly asked to carry out a lighter level of source code review by VC firms and other customers.

In the case of acquisitions, target companies are often also more comfortable talking to us, as a third party, about details of their technology and their source code. But we are also able to work in and experienced in working in clean team scenarios.