Investors2026-01-206 min

You're Investing Blind: The Technical Due Diligence Nobody Does

Every investor does financial due diligence. Most do market due diligence. Almost none do real technical due diligence.

And that's why 40% of the technology companies I review for investors have fundamental technical problems that weren't caught before the check was written.

What Passes for Technical DD Today

"Is the technology solid?" asked to the CTO. "Yes," says the CTO. Due diligence complete.

That's not due diligence. That's a trust exercise with someone whose job depends on the answer.

What Real Technical DD Reveals

Technical Debt Quantification

How much of the codebase is held together with duct tape? What's the real cost of getting from v1 to v2? Most investors are shocked by the answer.

Scalability Reality Check

Founders say "we can scale infinitely." The architecture says "we'll fall over at 10,000 concurrent users." You need to know which one is true before you invest.

Team Assessment

Is the engineering team capable of executing the roadmap? Do they have the right skills, the right processes, and the right velocity?

IP Analysis

Does the company actually own its IP? Is there defensible technology, or is it a thin wrapper on open-source code?

The Investment Edge

The investors who consistently outperform don't just pick better markets. They have better information about the technology they're investing in. That information edge comes from having a geek on your side who can see through the demo and into the codebase.

PROFIT AT SCALE starts with investing in technology that can actually scale.