Technical Due Diligence for Investment or Acquisition

Know What You’re Getting

At FifthVantage, we offer comprehensive technical due diligence services, based on years of experience in vetting potential acquisitions and integrating them. These include an in-depth assessment of the technology, processes, product, and architecture of your target organization. At times, we’ve advised clients not to invest or make an acquisition or investment due to risks and issues that we’ve discovered. To make sure you have all the facts, we will equip you with these:

• Detailed report of the strength & weaknesses of the target company’s technology and team – so there are no surprises
• Strength of Intellectual Property in order to minimize your risk
• Assessment of Technology Delivery Process Capabilities – Know how the prospective company stacks up to industry best practices, and how quickly and easily they can react to market changes to deliver product updates.
• Fit With Your Own Portfolio, Technology and Team – Know how well the prospect’s technology and team fit with your current business(es). Does the technology leadership have a clear understanding of what they need to do next with their software technology and have cogent plans to get there?
• Strengths and Weaknesses of Technology Leadership – Know who is a keeper and who is a risk.
• Outline of Risks associated with the software technology and team and the suggested steps of how to mitigate those risks.

Investment Due Diligence

We provide PE (private equity), and VC (venture capital) investors with an understanding of exactly what you’re getting for your investment in a technology business.

Acquisition Due Diligence

We provide business stakeholders with strategic information about how the target organization’s technology and team are going to fit into your existing operations, along with recommendations for technology and team to set up the framework for a more effective integration into your business.

The Intel We Provide

1. In-Company Assessment

Technical due diligence begins with a thorough assessment of your own company. This gives us an insight into how your own solutions and processes work, enabling us to draw parallels and comparisons with those of your target.

2. Technology and Skills Assessment

We get down to business, analyzing the technology framework employed by the target company. This includes AWS due diligence for SaaS acquisitions, evidence of innovation, and their familiarity with disruptive technologies like IoT and Big Data. We’ll help you understand the strengths and weaknesses of the design and architecture and how they compare to industry standards – and if they don’t measure up, what it will take to get them there.

We’ll also assess the skills and competence of their talent, the transferability of those skills, and their potential ability to drive growth for your own company.

3. Exhaustive Product Evaluation

Our product evaluation goes beyond assessing technical viability and business impact. We’ll pop the hood and take a close look at their software architecture design. We’ll give you a clear picture of how their solutions fit – or don’t fit – with your technology and investment goals. If it will take too much work to bring their technology up to industry standards, we’ll let you know.

4. Assessing Payback

Our technical due diligence will include a realistic assessment of the growth potential of your prospect. We’ll help you understand whether a potential acquisition or investment will help you realize your stated technology goals – and if not, the work required to get it there.

Our pre-investment audit helps you understand exactly what you’re buying into. Leverage our expertise to make an informed decision. Reach out to us to discuss a potential prospect and to learn more about what goes into our technical due diligence process.