Analysis and perspective on commercial due diligence for PE-backed financial services technology.
Long-form analysis on the structural gaps in PE commercial diligence, what domain-specific methodology looks like in practice, and how the finserv technology landscape is evolving for investors.
95% of PE firms now use AI in deal evaluation, and due diligence timelines have compressed by up to 70%. AI is transforming how DD gets done. It is not transforming whether you get the right answer on commercial viability in regulated, relationship-driven finserv markets. Here's where AI helps, and where it fundamentally cannot.
The final NYDFS Part 500 cybersecurity amendments are now fully in effect, with April 2026 compliance certifications imminent. For PE firms evaluating cybersecurity vendors serving financial institutions, regulatory pressure is reshaping competitive landscapes, revenue durability, and switching costs in ways that generalist DD consistently misses.
Revenue growth drives 60%+ of PE value creation, yet commercial execution remains the least rigorously assessed dimension of diligence. The problem isn't effort; it's architecture. Generalist DD frameworks aren't built for the regulatory dependencies, multi-stakeholder sales cycles, and sub-vertical-specific retention dynamics that define finserv technology businesses.
If you're evaluating a finserv technology company and want structured commercial conviction, let's talk.
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