Passing the Test: 4 Questions Investors Will Ask About Your D2C Tech

You're preparing for your next funding round. Your pitch deck is polished, your financials are in order, but are you ready for the deep dive into your technology? For D2C founders, technical due diligence is a critical, high-stakes milestone. Investors aren't just betting on your brand; they're betting on your ability to scale, and technology is at the heart of that equation.

Failing to prepare your tech can delay deals or, worse, sink them entirely. But viewing this process as an opportunity to showcase your operational discipline can significantly boost investor confidence. Having guided high-growth, PE-backed brands through this exact scenario, we know what investors are really looking for. Here are the four key questions your technology stack must be able to answer.

1. Is It Scalable and Resilient?

Investors need to know that your platform can handle a massive influx of traffic from a successful marketing campaign or international launch without crashing. This means having a technology infrastructure that is secure, resilient, and ready for growth. They will probe your architecture, hosting, and performance metrics to ensure the foundation is solid.

2. Is It Documented and Defensible?

A brilliant but undocumented system is a major red flag. Investors want to see documented systems and architecture, with a clear, actionable technology roadmap that is tightly aligned with your business goals. At Absolute Collagen, a core part of Neil Bradley's (Founder and Fractional CTO at Hanabi) role was developing and presenting the technology roadmap to the board and private equity investors. This demonstrates strategic foresight and reduces key-person dependency.

3. Is Your Data Clean and Your Strategy Clear?

Messy data is a sign of a messy business. Investors will scrutinise your data systems to ensure you have a "single source of truth" and are not making decisions based on flawed insights. Neil Bradley has experience leading the IT strategy development in collaboration with PwC for Absolute Collagen, demonstrating expertise in establishing the kind of robust data foundations and KPIs that stand up to the highest levels of scrutiny.

4. Is There Strong Technical Leadership?

Ultimately, investors are backing your team. They need to see a competent technical leader who can articulate the tech strategy and navigate future challenges.

A Fractional CTO often fills this role, acting as a competent technical liaison during investor interactions. This ensures that complex technical discussions are presented with clarity and are always aligned with your commercial objectives.

The Takeaway

Preparing for technical due diligence isn't a last-minute scramble; it's a strategic process. It requires transforming your technology from a simple operational function into a compelling asset that de-risks the investment and proves your capacity for disciplined growth.

Ready to pass due diligence with confidence? Let's align your technology with your financial goals.

Learn more about our services for Investor-Ready Technology & Technical Due Diligence and book a tech audit today.