I am thinking of investing in a start-up, time for due diligence

Through a contact I was introduced to a start-up. They are a tech start-up that has been operating for 2 years and have just launched their product. They have 13 employees and have raise $3 million in funding so far (from the founder and other Angel investors).

I've met with them and discuss their business model, financial projections, use of funds, the market in which they operate, the founders of the company, etc. I've tested their product, and had some friends test it.

Now I have to do my due diligence. If you were me, what would you be doing to make sure everything is legit?

I am going to review their audited financials, their legal documents, talk to some customers and some employees and some competitive intelligence, what other things should I be doing?

Career Resources

+115	Which PE Firms are going downhill?	PE	82	1h
+25	Pro tips to exercising during ASO stint	PE	13	5s
+21	Equity Research to BD/IR career pivot?	PE	5	1d
+21	How much thematic work / industry research do you guys do?	PE	5	4d
+20	Which PE firms are on the rise?	PE	31	1h
+19	Is there any point learning a European language for PE recruiting (London)	JOB	17	3h
+17	Private Equity in SEA	PE	7	2d
+16	Looking for Search Fund Intern as a Highschool Student (open to unpaid and remote)	PE	6	5d
+14	Top Tier Tech Firms	PE	9	6d
+14	Anyone know if search funds would intern a HS junior trying to gain experience	PE	5	5d

1	redever	99.2
2	BankonBanking	99.0
3	Betsy Massar	99.0
4	Secyh62	99.0
5	CompBanker	98.9
6	kanon	98.9
7	dosk17	98.9
8	GameTheory	98.9
9	Linda Abraham	98.8
10	Kenny_Powers_CFA	98.8

I am thinking of investing in a start-up, time for due diligence

Trending Content