Before starting an assessment we recommend agreeing on the high level objectives and the length and size of the engagement.
For seed round investments we will take a call as a service to a VCs we already have a relationship with for free. Due diligence can be potentially done remotely but could become more expensive due to inefficiencies. For a large seed or anything bigger than that, we highly recommend an on-site visit. Our typical due diligence process consists of the following.
The final report is a lengthy document that includes a summary of the technology developed by the company and its underlying infrastructure, technology advantages and risks, external integrations, an evaluation of whether the technology is solid and its future roadmap, the team’s technical credibility and capability across all product and technical areas, product quality and development process and the degree at which future plans seem viable.
Probably the most important phase of the technical review. The auditor solicits a response from management that indicates whether it agrees or disagrees with problems in the report, a description of management's action plan to address the problems and a projected completion date. At the closing meeting or debrief, all parties involved discuss the report and management responses. If there are any remaining issues, they're resolved at this point.