The z2m4 Advisors methodology uses and extends the Bell-Maison diagnostic approach for due diligence on high technology companies. The result is a scorecard of a company in four areas:

  • Marketing and Sales
  • Finance
  • Management
  • Technology

The prospective portfolio company and venture fund will experience the following steps in the due diligence work.

  • Gathering due diligence items – This includes such items as the business plan, product literature, customer/prospect lists, software documentation, and personnel descriptions. These items are reviewed in preparation for the site visit.
  • Site visits – The site visits encompass a variety of discussions with senior executives, product management, technical staff, product demonstrations, chalk talks, and when appropriate, interviews with customer and prospects. Depending on the scope of the due diligence effort, this work can be completed in about one week.
  • Preliminary report review – When the site visit has been completed, z2m4 Advisors produces a preliminary report with the scorecard in the four areas. Once the preliminary due diligence is complete, we like to have a brief review with the prospective portfolio company to make sure our facts are correct. Areas of concern will also be discussed before the presentation to the investors.
  • Final report After completing the preliminary report review, changes will be made to the report and it will be sent to the investors for review and discussion.