Technical Due Diligence
Technical Due Diligence for Investors and Acquirers
Independent technical due diligence that tells you what you're actually buying — codebase, architecture, security, team, and whether the roadmap is fundable.
Projects start as low as $1,000 · scoped and priced up front · free estimate
What you get
- 01Independent code audit and review
- 02Architecture and scalability assessment
- 03Security and infrastructure risk review
- 04Technical debt and remediation costing
- 05Team depth and key-person risk
- 06Plain-English findings for partners
Before you wire the money, you need to know whether the technology behind the target can carry the thesis. Our technical due diligence services give investors and acquirers an independent read on a target's codebase, architecture, scalability, security, technical debt, and team — written in plain English, delivered on the deal's timeline. We tell you what's real, what's fragile, what it will cost to fix, and whether the roadmap the founders are selling is fundable.
What does technical due diligence cover?
We assess the dimensions that move valuation and shape post-close risk: code quality and maintainability, architecture and scalability, security posture, infrastructure and cloud spend, test coverage, and the size and structure of the technical debt. We map every claim in the data room against what the code and systems actually do. You get a findings report that separates real engineering from narrative, with each issue rated by severity and remediation cost.
How do you assess code quality and architecture?
Our software due diligence for acquisition combines a hands-on code audit with architecture review and engineer interviews. We read the code, trace the critical paths, examine the data model, and pressure-test the scaling story against the load the business actually needs to handle. We favor evidence over assertion: we look at commit history, incident logs, and the build and deployment pipeline rather than taking the deck at face value.
How do you evaluate the team and key-person risk?
Technology is only as durable as the people who can operate it. We assess team depth, ownership concentration, and how much critical knowledge sits in one or two heads. We flag key-person dependencies, undocumented systems, and hiring gaps that will surface after close — the risks that quietly determine whether the roadmap is fundable once the founders' incentives change.
Why use Eltherion for technical due diligence for VC and PE?
You get senior attention, not a junior team running a checklist. Nick McCandless and a small group of senior engineers do the work directly, draw clear tradeoffs, and communicate findings in language a partner can act on without a translator. We have built and operated production systems since 2013, so we know the difference between debt that's manageable and debt that breaks the deal.
Common questions
How long does technical due diligence take?
Most engagements run one to three weeks depending on codebase size, system complexity, and data-room access. We scope to the deal timeline and can move faster for time-sensitive transactions, with verbal red-flag readouts before the written report lands.
What drives the cost of a technical due diligence engagement?
Cost scales with the size of the codebase, the number of systems and integrations, the depth of security review required, and how complete the data room is. We price a fixed scope up front so there are no surprises, and we flag early if the work needs to expand.
Who uses technical due diligence services?
Venture capital and private equity firms before an investment, companies acquiring a software business, and lenders financing one. Founders also commission a sell-side review before a raise or sale, so they can fix or explain issues before a buyer's diligence team finds them.
When in a deal should you run technical due diligence?
After a term sheet or letter of intent is signed and before the deal closes, once you have access to the code repository, the architecture documents and the engineering team. Running it before close leaves time to adjust price, add conditions or walk away, and the findings feed directly into the 100-day plan.
What makes Eltherion's technical due diligence different?
Senior engineers do the work directly — no junior team, no checklist theater. We read the actual code and systems, draw explicit tradeoffs, and write findings a non-technical partner can act on. We have built and run production software since 2013, so our risk ratings reflect what actually breaks deals.
Do you deliver findings in plain English for non-technical partners?
Yes. The report leads with a clear verdict and severity-rated findings written for an investment committee, with technical detail in appendices for the engineers. Every issue includes its business impact and an estimated remediation cost.
What is in a technical due diligence report?
A technical due diligence report opens with a one-page verdict: can this technology support the investment thesis, and what has to be fixed first. Behind it sit severity-rated findings on code quality, architecture and scalability, security, infrastructure and cloud spend, technical debt, and team and key-person risk, each with its business impact and an estimated remediation cost, plus a short list of questions to resolve with the founders before close. Detailed evidence goes in appendices for your engineers.
Related guides
More
Other services
Planning a technical due diligence project?
Tell us what you want to build and get a straight price range and timeline. Free, and it goes straight to the founder.