Technology risk can quickly become commercial risk
Technology issues are not always obvious in financial statements or management presentations.
A business may appear to have a capable development team and a successful software platform, while underneath there are serious dependencies, ageing systems, weak security controls, undocumented architecture or significant technical debt.
For investors and M&A advisers, these issues can affect valuation, transaction structure, integration costs and the investment required after completion.
White Internet Consulting provides an independent technology perspective to help you and your clients understand those risks before important decisions are made.
When an independent technology adviser can help
You may have a client considering an acquisition, preparing a business for sale or evaluating an investment where technology represents a meaningful part of the opportunity or risk.
I can assist when:
- Technology is important to the value of the business.
- The target operates a software or SaaS platform.
- There are concerns about technical debt or ageing systems.
- Management is heavily dependent on a CTO, founder or individual developer.
- The development team appears to be struggling with delivery.
- Cybersecurity or data protection requires further investigation.
- Significant technology investment may be required after the transaction.
- The buyer needs an independent view of management’s technology claims.
- An investor wants to understand whether the technology can support future growth.
- A seller wants to identify technology risks before formal due diligence begins.
The objective is not simply to find technical problems. It is to understand what those problems mean commercially.
Technology due diligence that speaks the language of business
A traditional technical review can produce pages of findings without answering the question an investor actually needs answered:
What does this mean for the deal?
My approach connects technology findings to commercial consequences.
That can include reviewing:
Software and architecture
How well is the software designed, maintained and documented? Are there architectural constraints that could make future development expensive or difficult?
Technical debt
Is technical debt manageable, or has it reached a point where it could materially affect delivery, reliability or future investment?
Technology leadership
Does the business have the leadership capability needed for its next stage of growth, or is technology effectively being managed by senior developers without broader strategic oversight?
Key-person dependency
What happens if the CTO, lead developer, founder or external development partner becomes unavailable?
Software delivery capability
Can the team reliably turn business priorities into working software, or are missed deadlines and unpredictable delivery already becoming normal?
Cybersecurity and operational risk
Are there obvious weaknesses in security, access controls, infrastructure, backups, disaster recovery or operational practices that warrant further investigation?
Scalability
Can the current technology, processes and team support the growth assumptions behind the investment case?
External suppliers
How dependent is the business on software agencies, contractors, cloud providers or other technology suppliers?
Support before, during and after a transaction
Technology advice does not have to begin when the formal due diligence checklist arrives.
Pre-deal technology review
An early independent review can identify potential issues before significant time and professional fees are committed to a transaction.
For sellers, this can also uncover problems that are better addressed before a potential buyer discovers them.
Technology due diligence
During due diligence, I can review the technology environment and help identify material risks, dependencies and areas requiring deeper investigation.
Findings are explained in clear business language so they can contribute to the wider commercial assessment of the transaction.
Post-acquisition technology priorities
Completing the deal does not make the technology risks disappear.
I can help the buyer determine what needs attention during the first 30, 60 and 90 days, separating immediate risks from improvements that can sensibly wait.
An independent perspective without competing for your client
When you introduce White Internet Consulting, you remain the trusted adviser.
I provide specialist technology expertise where it is needed, without trying to replace the relationship you already have with your client or other professional advisers.
I do not sell software platforms, managed IT services, cloud products or development teams. My role is to provide independent advice based on what is appropriate for the business.
That makes it easier to work alongside:
- M&A advisers
- Corporate finance advisers
- Private investors
- Family offices
- Private equity and investment teams
- Accountants and CFO advisers
- Commercial lawyers
- Business brokers and transaction advisers
Where additional specialist expertise is required, such as legal, tax or highly specialised cybersecurity advice, I will say so.
What your client receives
The level of review can be matched to the transaction.
For some situations, an initial conversation or targeted technology assessment may be enough to determine whether there is a material concern.
For larger or more technology-dependent transactions, the work may include:
- Management and technology leadership interviews.
- Software architecture and platform review.
- Development process and delivery assessment.
- Technology team capability review.
- Key-person dependency assessment.
- Infrastructure and cloud review.
- Cybersecurity and operational risk observations.
- Technical debt assessment.
- Supplier and third-party dependency review.
- Documentation and governance review.
- Identification of material technology risks.
- Prioritised recommendations and next steps.
The result is a clearer picture of the technology position and what it could mean for the transaction.
Particularly useful for software and technology-dependent businesses
Technology due diligence is obviously important when acquiring a SaaS or software company, but technology risk is no longer limited to technology businesses.
Construction, professional services, healthcare, engineering, manufacturing and other businesses increasingly depend on internally developed software, cloud platforms, integrations, data and digital processes.
A company does not need to describe itself as a technology business for technology failure to materially affect its value.
A simple way to introduce a client
You do not need to diagnose the technology problem before making an introduction.
If something does not feel right, or you simply want an independent technology perspective, we can have a confidential conversation first.
You can outline the situation without identifying the client initially. I can help determine whether technology input would add value and what level of involvement would be appropriate.
If an introduction makes sense, the process is straightforward and designed to protect your existing client relationship.
Need an independent view of a client’s technology risk?
If you are advising on an investment, acquisition or sale and technology could materially affect the outcome, let’s discuss the situation.
You do not need a detailed technical brief. Tell me what you know, what is causing concern and where you are in the transaction. I can help determine whether an independent technology review would be useful.