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Business & incomeExperience excerpt · English

I'm not OP, but when I experienced due dilligence the thing I found counter-intuitive was that …

I'm not OP, but when I experienced due dilligence the thing I found counter-intuitive was that 'looking really good at everything' isn't actually the best approach. As an example - it might be better that the company doing Due Dilligence finds you awful at sales during the DD phase, because they will see that you got revenue despite poor sales technique and they will see it as an easy target for improvement / 'to generate value'. Companies want to identify ways that they would be able to help the company they are aquiring. Not sure if this applies to Technical DD, but thought it was interesting enough to share!

Original discussionGitlab's Startup Acquisition Process104 source comments · at import
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ER

Thanks! * What are the most common gotchas? * What tools do you use to do the technical due diligence? * What would you suggest to prepare for it? * What would acing it look like?

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JA

Yes, that's called 'hidden upside'. You can of course also disclose this before DD. As a rule, surprises during the DD process are to be avoided if you can, even positive ones (because you may lose out on a bid from a party that would have bid if they had been aware of it). source: yaddp.

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WS

OP is specifically talking about tech due diligence which is specific within due diligence in general. One thing that appear in tech due diligence is quality of the technical architecture and implementation, and security risks associated.

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