No. The two are complementary. Standard commercial due diligence is the stronger tool for testing the market and revenue quality, and it should run on every deal. Relationship-durability diligence is the stronger tool for testing whether the value comes with the company or with people who might leave. For relationship-driven lower-middle-market targets, you need both.
Should you replace commercial due diligence with relationship-durability diligence?
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About the Author: Jacob Camhi
Jacob Camhi is Vice President of Growth at Vx Group, where he works with lower-middle-market B2B companies on relationship-driven growth strategies.