Due diligence is carried out by a firm before investing in a business. This involves going over the company’s documents, confirming references and looking for any hidden information. Due diligence software aids companies manage the process. It lets them centralize and document processes such as assessments, financial diligence and environmental, social, and corporate governance (ESG).
If you’re performing an investigation into the tech that person performing it will need your entire documentation for your product. This includes architectural diagrams, tech solutions and integrations backup and recovery servers, and process frameworks that were used to create the product. All of this documentation will aid in the speed of the process and decrease the risk of potential deals.
A tax examination is another common due diligence procedure, that is where the acquirer looks at the tax profile of the target company. It could reveal tax liabilities such as overstated losses, under-reported expenses and tax-related exposures for sales and use. It may also reveal tax deductions not reported as well as credits.
One of the most effective tools for due diligence is the virtual data room, which provides a secure space for sharing and storing files. It should be able to support file formats like PDF, Word, Excel and more. It should also come with the ability to search and browse as well as collaboration tools and file sharing. In addition it should permit easy uploads via drag and drop, various levels of security, and an integrated viewer. It should be compatible with all major mobile devices and browsers. SS&C Intralinks is a good choice, as it offers an efficient collaboration tool and an intuitive user interface. It offers a no-cost version that offers up to 10GB storage and 250 MB of upload limit and is compatible with Android and iOS devices. It also includes security features like AES 256 bit encryption as well as an ISO 27701 certificate.