Using Due Diligence Software to Speed Up the Due Diligence Process
When a firm decides to invest in a company, they conduct due diligence. This entails reviewing the documents of the company, checking references and looking for hidden details. Due diligence software can help companies manage the process. It allows them to document and centralize processes like assessments financial diligence, environmental, social and corporate governance (ESG) diligence and others.
If you’re performing an investigation into the tech that person performing it will require your complete documentation for the product. This includes architectural diagrams, technical solutions and integrations, backup and recovery servers, as well as the process frameworks used to develop the product. The documentation of all this will speed up the process and decrease the risk of a potential deal.
Another typical due diligence procedure is a tax exam, which is where the buyer reviews the tax profile of the company they are buying. It can reveal tax liabilities such as excessively reported losses, underreported expenses, and sales-and-use tax exposures. It may also reveal unreported tax deductions and credits.
A virtual data room is among the best tools available for due diligence. It can be used as a secure location to store and share files them with others. It should be able to support various file formats, including PDF, Word, Excel and many more. It should also feature the ability to search and browse along with file sharing and collaboration tools. Additionally, it should allow for easy uploads via drag and drop, various levels of security, and an integrated viewer. It should work with all major mobile devices and browsers. A good choice is SS&C Intralinks, which offers an intuitive user interface and powerful collaboration tools. It comes with a no-cost version that allows up to 10GB storage and a 250MB upload limit. It works with Android or iOS devices. It also provides security features like AES 256-bit encryption as well as ISO 27701 certification.