Rapid AI due diligence for a UK investor
We thoroughly assessed the potential risk of AI disruption for a UK investor's target business to provide a comprehensive understanding of how future technological advancements might impact its operations and market position.
Challenge
Investors are increasingly aware that rapid advances in AI can reshape entire industries, altering customer expectations, cost structures, and competitive advantages almost overnight. The difficulty lies in assessing whether a target business is well-positioned to adapt, or whether its model could be disrupted before growth plans are realised. For this investor, the challenge was to determine how exposed the target company was to AI-driven threats, and whether untapped opportunities could strengthen or weaken the long-term investment case.
Solution
We started by examining all the available information on the target business – what was their story so far, core revenue drivers, strategy for the future. We compared them to others in their sector to analyse AI usage possibilities that they might be missing and considered whether customer behaviours may also change in the future. Finally, we reviewed their core business model to determine whether there would be a need for their proposition in an AI-enabled future.
Results
A curated list of threats and opportunities for the target business in an AI enabled world
An AI maturity comparison to others in the sector, with recommendations for how to improve
Our proposals for the investment team on how to progress and maximise their potential opportunity from investing in the target business