Due Diligence • 5 min read

Pre-contract technology due diligence: what good looks like

How to spot real risk in a target’s technology and team before the deal closes - without slowing the deal down.

The patterns in this article come from our work with large enterprises across regulated and fast-moving sectors. The aim is not to be exhaustive - it is to surface the handful of decisions we see making the biggest difference in practice.

1. Beyond the data room

The data room tells you what the target wants you to see. Real due diligence looks at the codebase, the deployment pipeline, the on-call rotation and the incident history - and matches what they reveal against the management narrative.

2. Architecture: scaling story vs scaling reality

It is one thing to claim a platform scales. It is another to demonstrate it under realistic load with current customer growth assumptions. Architecture reviews should always include a back-of-the-envelope scale model and an honest look at the most painful bottleneck.

3. Team and ways of working

Many deals are bought for the technology and won or lost on the team. Engineering culture, decision rights and key-person risk matter at least as much as the architecture diagram.

4. A risk-rated, prioritised report

The most useful diligence reports are the ones that go beyond findings to recommended remediations, sized in time and money. That is what gives the deal team the information they actually need to negotiate, price or walk away.

Where to start

If any of the above resonates with what you are working through, we are always happy to compare notes - without obligation. Email is the best way to reach us: customerservices@halfteck.com.

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