Investment & Commercial Due Diligence
Investment and commercial due diligence tests whether a business opportunity holds up before capital is committed. It examines market and commercial fundamentals — demand validation, customer and channel assessment, and the inputs behind revenue models — and identifies key risks and what could go wrong, so a decision is based on facts rather than assumptions.
Who it's for: investors weighing a funding round or acquisition, corporate development teams assessing a target, and boards that need an independent read on demand and downside risk before capital is committed.
What this covers
We evaluate market and commercial fundamentals through rigorous demand validation, customer and channel assessment, and revenue-modelling inputs from real-world adoption drivers — then test what could go wrong.
- Market & commercial due diligence across the fundamentals behind the opportunity.
- Demand validation & revenue modelling inputs, grounded in real-world adoption drivers.
- Customer & channel validation — will customers buy, and do the channels that reach them work.
- Risk assessment & downside scenarios, testing what could weaken the forecast.
- Investment thesis validation, so the idea is judged on facts rather than assumptions.
Commercial vs. financial due diligence
The two are complementary, and commercial findings often feed the revenue assumptions the financial model then carries.
Financial due diligence
Tests the numbers already reported — historical accounts, quality of earnings and working capital.
Commercial due diligence
Tests the market case — is demand real, who the customers are, how they buy, which channels reach them, and what could weaken the forecast.
How the findings are used
The findings usually go straight into an investment decision. Where the thesis doesn't hold, the same work supports a decision to walk away or to renegotiate terms.
Deal teams
Use the demand and channel evidence to sanity check revenue assumptions, and the downside scenarios to set the range they're willing to underwrite.
Investment committees
Use the risk assessment to frame conditions or diligence follow-ups before capital is committed.
What you receive
- A market and commercial due diligence report covering the fundamentals behind the opportunity
- Demand validation findings with customer and channel evidence and inputs for revenue modelling
- A risk assessment setting out key risks and downside scenarios for the investment
- A view on whether the investment thesis holds, with a call to discuss it
Frequently asked questions
What is investment and commercial due diligence?
It's an objective, market-grounded review of an opportunity before capital is committed. It looks at market and commercial fundamentals rather than accounts alone: is there real demand, will customers buy, do the channels work, and what drives revenue in practice. It also asks what could go wrong. The result is a fact-based view of whether the investment idea makes practical sense.
How is commercial due diligence different from financial due diligence?
Commercial due diligence tests the market case, while financial due diligence tests the numbers already reported. Financial work verifies historical accounts, quality of earnings and working capital. Commercial work asks whether demand is real, who the customers are, how they buy, which channels reach them, and what could weaken the forecast. The two are complementary — commercial findings often feed the revenue assumptions that the financial model then carries.
What does the client need to supply?
The investment thesis and the questions behind it are the main inputs. A description of the target or opportunity, the markets and geographies in scope, the customer segments and channels that matter, and any internal projections or assumptions that need testing all help. Access to management materials or a data room is useful where available. Where information is limited, the work relies on public and market sources, and the report states what is evidence and what is inference.
How are the findings used after delivery?
The findings usually go straight into an investment decision. Deal teams use the demand and channel evidence to sanity check revenue assumptions, and the downside scenarios to set the range they're willing to underwrite. Investment committees use the risk assessment to frame conditions or diligence follow-ups. Where the thesis does not hold, the same work supports a decision to walk away or to renegotiate terms.
Start a due diligence review
Tell us the opportunity and the thesis you're testing, and we'll scope the work.
