The ONE type of Due Diligence (DD) 97% of investors miss carrying out: Leadership’ Capability to Lead and Deliver

Yes most investors do Tech DD.

Yes they check that the numbers add up.

Yes they check that there’s a vision and strategy in place.

But in my experience, 97% don’t also do DD on the leadership team and their capabilities to lead people and deliver.

They don’t check these things about leaders:

✓ do they know how to scale themselves through people?

✓ do they know how to create a collaborative culture that addresses small issues before they become raging fires?

✓ do they inspire people to want to deliver that vision?

✓ do they give people a sense of autonomy, mastery or purpose?

✓ do they know how to retain staff, or

✓ what track record do they have with attrition in the past few years?

Everything is about the business plan, the technology and the financial projections.

But without the people, without being able to lead or scale yourself through people,
… none of those can be achieved!!!

Why do so many investors just focus on numbers and technology but forget about the people?

Interestingly Darwin Talay mentioned this to me recently too. We’d love to hear what you think…

#cto #ceo #investment #duedilligence #reengineeringleadership