Using Due Diligence Software to Speed Up the Due Diligence Process

If a company decides to invest in a company they conduct due diligence. This involves looking through the company’s records, confirming references and examining for any hidden information. Due diligence software helps firms 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 others.

For example, if you are performing a tech due diligence, the person who is performing it will need all your documentation for your product, including architectural diagrams, integrations and tech solutions backup and recovery servers and the process frameworks that were used to develop the product. All of this documentation can assist in speeding the process, and also reduce the risks associated with potential deals.

Another typical due diligence procedure is a tax examination wherein the acquirer reviews the tax profile of the company that is being targeted. It can reveal tax liabilities, including overstated net operating loss, underreported tax expenses, and exposures to sales and use tax. It could also uncover tax deductions that are not reported and credits.

A virtual data room is one of the best tools you can use for due diligence. It can serve as a secure space to store files and share them with others. It should have the ability to work with file formats like PDF, Word, Excel and more. It should also offer an intuitive search and browse function, file sharing features and collaboration tools. It should also allow drag and drop uploads as well as multiple security levels and a built in 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 comes with a no-cost version that can hold up to 10GB of storage space and a 250MB upload limit. It is compatible with Android or iOS devices. It also comes with security features like AES 256 bit encryption and ISO 27701 certificate.