Using Due Diligence Software to Speed Up the Due Diligence Process

When a firm decides to invest in a business they conduct due diligence. This involves reviewing the company’s documents, checking references and looking for any hidden information. Due diligence software can help companies manage the process. By using it, they are able to document and centralize processes like assessments, financial diligence, environmental social and corporate governance (ESG) diligence and other.

If you’re conducting a tech due-diligence, the person doing it will require your complete documentation for your product. This includes architectural diagrams, tech solutions and integrations, backup and recovery servers, as well as the process frameworks utilized to develop the product. Making sure that all of this is documented can help to accelerate the process and decrease the risk of a potential deal.

Another process used in due diligence is a tax examination in which the acquirer examines the target company’s tax profile. This may reveal tax liabilities, such as overstated net operating loss, underreported tax expenses, and exposures to use and sales tax. It may also reveal tax deductions not reported as well as credits.

One of the most effective tools for due diligence is a virtual data room that can provide a secure place for sharing and storing files. It should have the ability to support file formats like PDF, Word, Excel and many more. It should also come with an intuitive search and browse function along with file sharing capabilities and collaboration tools. Additionally, it should allow for simple drag and drop uploads, various levels of security, and an integrated viewer. It should support all major mobile devices and browsers. SS&C Intralinks is a good option as it comes with an efficient collaboration tool and an intuitive user interface. It offers a no-cost version that can provide up to 10GB storage and 250 MB of upload limit and is compatible with Android and iOS devices. It also comes with security features such as AES 256-bit encryption as well as ISO 27701 certification.