From Absurdity to Reason – Time for Digital Due Diligence to Come of Age

Published Categorised as Digital Due Diligence Tagged

In the face of financial markets hype we’ve never needed digital due diligence more. It’s time to reverse our economic handcart out of a pandemic-induced Hades.

The rallying call is the same after every market shock, said Stephen Welton, BGF Executive Chair, speaking at Scaleup Week this week. His shock examples included WW2, the dotcom bubble, the 2008 crash and now Covid. That call is we need to invest in growth to recover.

But it’s hard to manoeuvre safely and at speed when you’re going backwards and looking in the rearview. And the pressure is on.

Paralysis hit the economy early in 2020 as lockdown came into effect. Yet there was optimism around, according to Beauhurst and equity investing rallied. Deal numbers were up on the previous year. Even if much of that was survival finance for stricken businesses.

Move forward to 2021 and the temperature is rising. New records are being hit. £5.18b of equity has been raised in Q1. That’s already more than half of the total raised in 2020, and an 84% increase compared to the same quarter a year ago.

Let’s not even go near the near-absurd worlds of non fungible tokens (NFTs). Or Dogecoin and the power of Elon Musk to crash markets.

In our post-crisis world, after more than a decade of low to non-existent interest rates, the hunt for profit is on. Investors are seeking alternative asset classes and new investment vehicles. And there’s a growing focus on equity investing.

That is all fuelling increasing speculation about financial bubbles. So there has never been more need for tools that can cut through the hype. But there’s one positive outcome at least after the last year. We’re now reaching a new level of digital transformation maturity. This means that digital market analysis is finally coming into its own as a crucial element of the due diligence mix. And not just for B2C targets.

We’ve developed a tool that will help you find a path through the bubble hype. Our real world data maps and sizes your targets’ opportunities. And reveals the digital marketing runway and predicted flight path for your investment. We call our digital due diligence offer D3. We’d love to show you the value it will bring to your investing.

By Jane Franklin

…is co-founder of Difference Engine. Jane has deep experience in communications, inbound and outbound marketing for a range of organisations from Microsoft and OS to the Greater London Authority and NFU Mutual and many others in between. Should anyone ever want to bribe Jane, focusing on a mixture of rock, comedy, cheese and cider will probably do the trick.