General Inspection |
|
That anchored ship may look good, but is it
just because of its fresh coat of paint?
Assessing a ship before buying into it requires more than a cursory inspection.
Structural integrity, engines, stability, maintenance cost, and crew should be
factored in the price.
Case |
Technical and marketing due diligence. |
Challenge |
A Korean venture fund was considering investing in a software startup company. The fund needed to assess strengths of the technology and market attractiveness of the products. |
CBMI Approach |
Following its standard due diligence methodology, CBMI reviewed the company's business plan, preparing questions and discussion topics for meetings. Developers well understood the functional requirements - the technology was fundamentally sound. However, the development organization did not have an overall architecture group, which would impair growth. Operationally, the company had a weak professional service organization. Finally, management did not understand what it would take to sell its product internationally. |
Outcome |
Not able to convince management to make the required changes, the venture fund decided not to invest in the company. |
