AI Diligence // portfolio & value creation # You already own it. Now find the hidden risks and synergies. Diligence ends at close. The AI risk doesn't. We score the AI across every holding, re-score it every quarter, and tell your operating partners where the hidden risks sit and where the synergies actually are — before the exit process finds out for you. Score the portfolio → See the board ↓ Portfolio Intelligence — every holding, scored and re-scored across the hold. 01 // The board ## The analysis no deal team can run. A deal team sees one company. A fund-level read sees the same risk appearing in five of them, the value clustering in three, and the fix for one company already built and running inside another. That is the whole argument for scoring the portfolio rather than the deal. 01.1 ### The roll call Every holding on one composite, ranked worst first, against the sector baseline — with the movement since entry. Meridian has lost 0.3 since you bought it. Nobody filed a board paper about that. 01.2 ### Concentration of risk The same exposure, appearing in holding after holding. Correlated risk is invisible from inside any single company — and it is the only kind that can hit the whole fund at once. Five of eight holdings depend on a single model vendor, and five run a critical model with no fallback. That isn't eight company risks. It's one fund risk, held eight times. The correlated stress test If your primary model vendor reprices inference by 30%, or deprecates the model your holdings are built on: 5 holdings hit at once ≈ $4.6M aggregate EBITDA exposure, in the same quarter 0 of them would see it coming from inside their own P&L No deal team can answer this question. A fund-level read answers it every quarter. 01.3 ### Concentration of value The upside is not spread evenly. Knowing where it clusters is the difference between a value-creation plan and a to-do list. Three holdings carry 61% of the value on the table. Start there — and stop spending operating-partner time on the rest. 01.4 ### The synergy map — what one holding can lend another The fix a portfolio company needs is often already built, tested, and running in a company you also own. We map the assets against the needs. $9.3M of the upside requires no new build. It's transfer — an eval harness here, a data-rights framework there, one vendor rate instead of six. 01.5 ### Exit readiness Score against the exit calendar. A holding below the baseline with a process starting in eighteen months is the most actionable fact in the fund. Four holdings will meet a buyer's AI diligence below the baseline within 24 months. You know what happens next — you do it to other people for a living. 01.6 ### Key-person concentration The bus factor: how many people could leave before the AI stops working. In most portfolio companies the honest answer is one — and nobody has written it down. Three holdings lose their AI capability if a single person resigns — no documentation, no eval suite, no handover. That's not a technology risk. It's a retention problem with an EBITDA number attached. 01.7 ### Data-network pairings The offensive play. Two holdings whose combined data creates an asset that neither one could build alone — and that no competitor can replicate, because no competitor owns both companies. $7.6M of value that only exists because you own both sides. This is the one advantage a fund has that a strategic buyer doesn't — and almost nobody harvests it. Caveat that matters: no combination proceeds without a data-rights opinion. Customer contracts, privacy basis, and competition law all bind here — the healthcare pairing in particular cannot move without a lawful basis for the PHI. 01.8 ### Playbook velocity What makes the synergy map compound: the same fix gets dramatically cheaper each time it moves to the next holding. Build once, deploy four times. Fourteen weeks to build the first time. Three by the third transfer — a 79% drop. That is the moment a portfolio stops being eight separate companies and starts being one compounding capability. Illustrative fund · sample scores and values. Bands: 1.0–1.9 AI-deficient · 2.0–2.9 significant risk · 3.0–3.9 capable with gaps · 4.0–5.0 AI-ready. 02 // Hidden risks and synergies ## A score at entry is a photograph. AI risk is a film. The models change under them. The vendor reprices. A competitor rebuilds the category. A company that scored 3.0 at close can be a 2.1 two years later without a single board paper mentioning it — and the first person to notice will be the buyer in your exit process. Drift ### Quiet degradation The AI position erodes while the P&L still looks fine. Re-scoring surfaces it while there's still hold left to fix it. Concentration ### The same risk, five times Four holdings on the same model vendor is a fund-level exposure that no single deal team could ever see. Synergy ### What worked over there The fix that created 2.4 margin points in one company is a playbook for the next three. 03 // The upside ## Every risk is also a lever. Across the whole fund. Each AI fix does two jobs: it remediates the value at risk , and it creates new value on top — margin, revenue, operating leverage. Priced per holding, it becomes a portfolio-wide value-creation plan rather than a list of IT projects. Illustrative · remediation figures reconcile to the value at risk identified in each company's assessment. 04 // How you buy it ## Subscribe the fund. Not the deal. Annual subscription · per fund ### Portfolio Intelligence Every holding scored and re-scored, with the value-creation plan tracked against the original thesis. ≈ 15 SME hours / holding / quarter - Quarterly re-score across every holding - Drift alerts before the number moves - Fund-level concentration and vendor exposure - Value-creation plan tracked to the thesis - Annual deep-dive per company Per company ### Confirmatory Assessment The full eight-domain read — for a new acquisition, or a holding you've never scored. ≈ 70 SME hours included - All eight domains, evidence-linked and attested - Management and technical interviews - Findings → value-creation plan working session - Board-ready readout ## Your exit buyer will score the AI. Score it first. We'll read every holding in the fund, tell you which one is going backwards, and price what fixing it is worth — while you still have hold period left to act. Score the portfolio →