A pitch can tell you a lot about a startup. But due diligence can tell you its secrets. These are some of the things we look at when doing due diligence.
🔎 The Product
Does the product even exist?
Review their materials and source code.
Do they have IP rights or any form of protection?
🔎 The Financials
Are there unnecessary expenses?
Are the projections realistic?
Look at their burn rate.
🔎 The Legalities
Are there any legal disputes?
Look at contractual obligations.
Look at compliance and regulations.
🔎 The Cap Table
Look at the terms of previous funding rounds.
Are there any anti-dilution provisions?
What vesting schedules are in place?
🔎 The Team
How do they plan to scale the team?
Look at their advisory board.
Look at their hiring plans.
🔎 The Product
Does the product even exist?
Review their materials and source code.
Do they have IP rights or any form of protection?
🔎 The Financials
Are there unnecessary expenses?
Are the projections realistic?
Look at their burn rate.
🔎 The Legalities
Are there any legal disputes?
Look at contractual obligations.
Look at compliance and regulations.
🔎 The Cap Table
Look at the terms of previous funding rounds.
Are there any anti-dilution provisions?
What vesting schedules are in place?
🔎 The Team
How do they plan to scale the team?
Look at their advisory board.
Look at their hiring plans.
