Generate and track comprehensive due diligence checklists tailored to the target company's sector, deal type, and complexity. Covers all major workstreams with request lists, status tracking, and red flag escalation. Use when kicking off diligence, organizing a data room review, or tracking outstand

Due Diligence Checklist Workflow Step 1: Scope the Diligence Ask the user for: Target company : Name, sector, business model Deal type : Platform acquisition, add on, growth equity, recap, carve out Deal size / complexity : Determines depth of diligence Key concerns : Any known issues to prioritize (customer concentration, regulatory, environmental, etc.) Timeline : When is LOI / close targeted? Step 2: Generate Workstream Checklists Generate a checklist across all major workstreams, tailored to the sector: Financial Due Diligence Quality of earnings (QoE) — revenue and EBITDA adjustments Working capital analysis — normalized vs. actual Debt and debt like items Capital expenditure (maintenance vs. growth) Tax structure and exposure Audit history and accounting policies Pro forma adjustments (run rate, synergies) Commercial Due Diligence Market size and growth (TAM/SAM/SOM) Competitive positioning and market share Customer analysis — concentration, retention, NPS Pricing power and contract structure Sales pipeline and backlog Go to market effectiveness Legal Due Diligence Corporate structure and org chart Material contracts (customer, supplier, partnership) Litigation history and pending claims IP portfolio and protection Regulatory compliance Employment agreements and non competes Operational Due Diligence Management team assessment Organizational structure and key person risk IT systems and infrastructure Supply chain and vendor dependencies Facilities and real estate Insurance coverage HR / People Due Diligence Org chart and headcount trends Compensation benchmarking Benefits and pension obligations Key employee retention risk Culture assessment Union/labor agreements IT / Technology Due Diligence (for tech enabled businesses) Technology stack and architecture Technical debt assessment Cybersecurity posture Data privacy compliance (GDPR, CCPA, SOC2) Product roadmap and R&D spend Scalability assessment Environmental / ESG (where applicable) Environmental liabilities Regulatory compliance history ESG risks and opportunities Step 3: Status Tracking For each item, track: Item Workstream Priority Status Owner Notes QoE report Financial P0 Pending Customer interviews Commercial P0 In Progress 3 of 10 complete Status options: Not Started → Requested → Received → In Review → Complete → Red Flag Step 4: Red Flag Summary Maintain a running list of red flags discovered during diligence: What was found Which workstream Severity (deal breaker / significant / manageable) Mitigant or path to resolution Impact on valuation or deal terms Step 5: Output Excel workbook with tabs per workstream (default) Summary dashboard: % complete by workstream, outstanding items, red flags Weekly status update format for deal team Sector Specific Additions Automatically add relevant items based on sector: Software/SaaS : ARR quality, cohort analysis, hosting costs, SOC2 Healthcare : Regulatory approvals, reimbursement risk, payor mix Industrial : Equipment condition, environmental remediation, safety record Financial services : Regulatory capital, compliance history, credit quality Consumer : Brand health, channel mix, seasonality, inventory management Important Notes Prioritize P0 items that are gating to LOI or close Flag items where the seller is slow to respond — may indicate issues Cross reference data room contents against the checklist to identify gaps Update the checklist as diligence progresses — it's a living document

dd-checklist