DWP Initial Diligence Questions

I hear from many founders what types of due diligence we look for when evaluating companies. So before we dive into a term sheet, we send out a high-level DD list that encompasses mainly business points that help us understand growth, customers, margin, and general business economics. Here is the list for your viewing pleasure.

• Latest company overview presentation or pitch deck

• Historical monthly financial statements in excel (straight out of an accounting system is acceptable)

• Monthly financial projections for 2022/2023 in excel (and beyond, if available)

• Historical monthly revenue by customer

• Any unit economics data/analysis that the Company has available (e.g., margin analysis, data on CAC/LTV/churn)

• Current sales pipeline with opportunity stages, percentage probability, and projected revenue/ARR value by the target

• Current cap table and summary of funding history to date

This information, followed by a management call + demo, gives us all the information we need to be able to work independently and come to an investment decision.