Diligence Squared
Diligence Squared is an AI-native platform automating commercial due diligence and market research for investment teams, founded in 2025 by Frederik Hansen, Søren Biltoft, and Harshil Rastogi.
Profile
Automates commercial due diligence and market research for investment teams using AI.
Diligence Squared is an AI-native platform automating commercial due diligence and market research for investment teams, founded in 2025 by Frederik Hansen, Søren Biltoft, and Harshil Rastogi. Hansen, a former Blackstone Principal, and Biltoft, ex-BCG Private Equity Principal, combined their private equity and consulting expertise with Rastogi's AI engineering background from Google to address inefficiencies in traditional due diligence. The company raised $5 million in a seed round led by RELENTLESS, with participation from Y Combinator, in March 2026.
Diligence Squared's platform replaces costly consulting workflows, offering AI-driven expert interviews, synthesis, and traceable reports at a fraction of the cost. Early adopters include private equity firms representing over $2 trillion in assets under management. The company is headquartered in New York and has quickly gained traction in both U.S. and European markets.
Who buys this
- Private equity firms seeking cost-efficient due diligence
- Private credit funds needing rapid deal underwriting
- Portfolio companies requiring market intelligence
- Corporates analyzing go-to-market strategies
Strengths and what to watch
Strengths
- Founders bring deep private equity and consulting experience, ensuring domain expertise
- AI-driven platform reduces due diligence costs by up to 90% compared to traditional consulting
- Full traceability of insights to sources enhances credibility and auditability
Watch for
- Competition from established consulting firms adapting AI tools
- Reliance on AI accuracy for high-stakes investment decisions
- Potential resistance from traditional due diligence providers
Recent moves
Key Information
- Founded
- 2025
- Headquarters
- New York
Frequently Asked Questions
What is Diligence Squared?
Diligence Squared is an AI platform automating commercial due diligence for investment teams. Founded in 2025 by ex-Blackstone and BCG executives, it replaces traditional consulting with AI-driven expert interviews, synthesis, and traceable reports. The New York-based startup raised $5M in 2026 and serves private equity firms.
How does Diligence Squared reduce due diligence costs?
The platform cuts due diligence expenses by up to 90% versus traditional consulting. AI automates expert interviews, market analysis, and report generation while maintaining traceability to sources. This efficiency appeals to private equity firms and credit funds managing over $2 trillion in assets.
Who uses Diligence Squared's AI due diligence platform?
Primary users include private equity firms, credit funds, and corporates. These clients leverage the platform for deal underwriting, portfolio monitoring, and go-to-market strategy analysis. The solution particularly benefits firms seeking faster, auditable due diligence at scale without premium consulting fees.
What makes Diligence Squared different from consulting firms?
Unlike manual consulting, Diligence Squared offers AI-powered speed (days vs weeks) and 24/7 availability. Its traceable methodology provides audit trails missing in traditional reports. The founding team's PE and BCG experience ensures domain-aware AI outputs, not just generic analysis.
How accurate is AI for investment due diligence?
Diligence Squared combines AI with human-domain expertise—its founders are ex-Blackstone and BCG principals. The platform traces all insights to primary sources, allowing verification. Early adopters include top-tier PE firms, suggesting confidence in its reliability for high-stakes decisions.
What are alternatives to Diligence Squared for market research?
Traditional options include McKinsey/Bain reports, manual expert networks, and in-house teams. Emerging competitors are AI-native platforms, though few match Diligence Squared's PE-specific focus. The key differentiator is its founder-led domain expertise baked into the AI models for investment contexts.
Sources
- www.prnewswire.com — Funding round and founding team details
- www.diligencesquared.com — Company overview and value proposition
- techcrunch.com — Media coverage of product capabilities
- www.forbes.com — Industry context and market need