In the process of reviewing and closing deals, GPs and LPs require information on investment prospects and manage due diligence processes, conduct risk assessments and much more. The right software will help dealmakers streamline workflows as well as improve accuracy and also save time.

Many private equity firms employ different tools to manage their deals. These include spreadsheets, word processing applications, note-taking and to-do apps, and Blackbook. While juggling multiple tools at once may seem like a good idea, it can waste precious time and creates confusion in data. Dealmakers also face risk when using siloed third-party data sources, since they have no assurance that the data has been scrutinized by a single vendor. Small vendors can also disappear without notice, forcing dealmakers to rethink their decision-making strategy.

Dealmakers need an application that is simple to use and able to consolidate their data into one place. Dealmakers can save time and avoid losing data by using a CRM that integrates APIs with the most popular collaboration software. They can also make use of a database to store and consolidate niche tools.

The right M&A tool can also help in the process of deal structuring, as well as integration after mergers. Automated escrow services for instance could simplify M&A by establishing and keeping transaction specific documents in a central place. A extensive M&A platform on the other hand can boost due diligence by surfacing hard-to-find details about a company and provide insights into its potential for growth and transaction-readiness.