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TECHNOLOGY DUE DILIGENCE

Understand technology risk before you buy the business.

Technology problems rarely appear neatly on the balance sheet.

An acquisition may come with ageing infrastructure, fragile systems, cyber exposure, unsupported applications, supplier dependency, undocumented processes or significant post-completion investment requirements.

Baselayer provides practical technology due diligence for buyers who need to understand the operational technology environment before completing an acquisition.

AREAS WE REVIEW
Findings designed for the transaction decision.

The question is not whether the technology is perfect.

Few operating businesses have perfect technology.

The important questions are:

Due diligence should help the buyer understand those issues before they become post-completion surprises.

What does the business depend on?
What could disrupt operations?
Where is important knowledge concentrated?
Which systems are approaching replacement?
What security risks exist?
Which supplier contracts matter?
What additional technology investment is likely after acquisition?
What could complicate integration?

AREAS WE REVIEW

01

Technology operating model

Internal staff, MSPs, suppliers and key technology responsibilities.

02

Business systems

Critical platforms, dependencies, age, support status and known issues.

03

Infrastructure and cloud

Important hosting, network, endpoint and cloud dependencies.

04

Cybersecurity

Material weaknesses, identity risk, endpoint security, backup and incident readiness.

05

Data and access

Important data locations, administrative access and ownership.

06

Suppliers and contracts

Key IT suppliers, licences, renewal issues and concentration risk.

07

Technical debt

Areas likely to require remediation or replacement.

08

Key-person dependency

Technology knowledge or access concentrated in one individual.

09

Resilience

Backup, disaster recovery and operational continuity.

10

Integration considerations

Technology issues likely to affect post-acquisition consolidation or integration.

OUTPUT

Findings designed for the transaction decision.

Depending on scope, the output can include:

Executive technology risk summary
Material red flags
Critical dependencies
Cyber observations
Technology asset and system overview
Supplier dependencies
Likely remediation priorities
Indicative investment areas
Day 1 concerns
30/60/90-day improvement priorities
Post-acquisition integration considerations

The emphasis is on what management and the buyer need to understand, not producing unnecessary technical detail.

Operational technology due diligence, not software product code review.

This service is designed primarily for acquisitions of operating businesses where technology enables the organisation.

It is not positioned as deep source-code, software-product architecture or intellectual-property due diligence for technology startups.

Where specialist technical disciplines are required, those can be added separately.

Know the technology issues before they become yours.