Company Due Diligence — Private Equity

The Private Equity Playbook: Mastering Company Due Diligence

This is the cornerstone of any PE deal. Unlike standard audits, PE financial diligence focuses on the "run-rate" of the business to ensure the price paid is fair. Private Equity Company Due Diligence

Analyzing customer concentration (e.g., top 10 customers), churn rates, and whether revenue is recurring or one-time. The Private Equity Playbook: Mastering Company Due Diligence

While financial diligence looks back, ODD looks forward. It assesses whether the company can actually scale and deliver the growth projected in the investment thesis. top 10 customers)

Identifying one-time expenses, owner-related costs, or non-recurring income to find the true underlying profitability.