Private Equity • 6 min read • June 15, 2026
The PE Deal Team's Guide to IT Due Diligence
How operating partners and deal teams uncover hidden technology debt, cyber risk, and licensing liabilities before closing.
K
Kevin Miller
Managing Director, Technology Practice
The PE Deal Team’s Guide to IT Due Diligence
In today’s M&A environment, technology is rarely just a support function. In lower-middle-market acquisitions, legacy IT, unpatched cybersecurity vulnerabilities, and unrecorded software liabilities can quickly erode post-close EBITDA margins.
Key Diligence Assessment Vectors
- Cybersecurity & Threat Telemetry: Are endpoints protected by managed EDR? Does the target store unencrypted PII or client data?
- Infrastructure Debt: How many servers are beyond end-of-life support? What is the cost to migrate to cloud?
- Software & SaaS Licensing: Is the target operating under legacy enterprise agreements that expire post-close?
- Talent & Key-Person Dependency: Is technology knowledge trapped in the head of a single internal employee?
Delivering Actionable Cost Estimates
Fluid’s due diligence reports provide itemized 100-day remediation budgets directly formatted for deal modeling, allowing investment committees to factor IT debt into valuations before signing.
Have questions about this topic?
Speak directly with Fluid's strategic technology practice leads.