Dr. Thomas J. Powell warns that sloppy due diligence now invites fraud allegations from regulators and lawyers. AI and faster scrutiny mean every document in your data room matters. Misalignment between what you say and what the record shows can kill a deal.
Chapters
Hey, Tom Powell here with the founder's office up in Seattle. On a windy day. Typical rain in Seattle. Just wanted to talk about due diligence and what trends we're seeing at this point. Because of AI and because of technology, due diligence is becoming ever, ever more important and more important than ever that it is congruent with what your messages are. For one thing, if there is a mistake in a due diligence packet, that can actually cause you a fraud statement, regulator or a litigating attorney. So fraud is not about the purposeful challenge with stating something incorrectly. It's about even an error in stating that. And that can be in your data room, that can be within your documents, that can be even in the applications if you're applying for bank loans and such. So due diligence is more thorough and more accurate and a lot faster. And it's continuous.