Operational due diligence for a private-equity investor
An operator's view behind the financial metrics of an e-commerce software provider, including scenarios and a buy-and-build longlist.
Starting point
An investor was examining the acquisition of a software provider from the e-commerce space and needed an operational view of the business behind the financial metrics, including growth and risk drivers and a buy-and-build perspective.
Approach
Market, business-model and competitive analysis through an operational lens. Assessment of product and module coverage against the actual market need (whitespace), a read on the threat from AI and the internationalisation opportunities, as well as three scenarios for further development. Complemented by an M&A longlist with 16 potential acquisition targets for a buy-and-build strategy.
Result
An over-90-page, operationally grounded basis for a decision that complemented the investor's financial view with market reality, concrete product gaps and tangible add-on options. A clear read on where value is created and where the risks lie.