Information Technology (IT) Due Diligence

published on 06 July 2013
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The team at Meta Section is regularly engaged by Private Equity firms, Management Consulting firms, and Private Companies for various Due Diligence related services.

Each engagement is unique, however they generally fall into one of the following categories.

  • Internal technology review
  • Sell-side preparation for sale
  • Buy-side due diligence and assessment

The Meta Section Due Diligence Process

  1. Define the engagement scope based on the investment thesis.
  2. Send focused information requests to the company and if applicable, coordinate product demonstrations.
  3. Upon receipt of the information, perform analysis and prepare a custom Due Diligence Questionnaire taking into consideration the investment thesis, business/product domain, and compliance requirements (PCI, etc).
  4. Prefill the questionnaire based on the information provided and distribute to the company for completion/clarification.
  5. Interview key individuals.
  6. Develop an Opinion Paper for the client based on the investment thesis and overall findings. The Opinion Paper includes a summary of the engagement, thesis questions, and the opinion. The expectations and findings for each thesis question are summarized.
  7. Deliver the Opinion Paper and Due Diligence Questionnaire to the client and review with them via web-conference or in-person meeting.

Key IT Due Diligence Areas

  • Product Offering and Services Delivery
  • Intellectual Property
  • Technology Stack and Infrastructure
  • Sensitive Data Handling and Protection
  • Security and Compliance
  • Business Continuity / Disaster Recovery
  • IT Operations and Job Controls
  • Technology Budget
  • Technology Organization and Staffing
  • Software Development Lifecycle
  • Quality Assurance
  • Customers and Service Levels
  • Customer Onboarding and Support

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