The Function
An Early Warning System detects catastrophic problems before they become catastrophes—in time to abort, renegotiate, or prepare.
What Traditional Due Diligence Misses
Standard audits check financials, legal compliance, and market position. They systematically miss:
- Human Time Bombs: The CEO who will crack under scale
- Phantom Decision-Makers: Invisible puppet masters controlling the company
- Cultural Fault Lines: Teams that will implode post-acquisition
- Ego Risks: Founders who will sabotage rather than compromise
Proof of Concept
PHENOGY Detection: 10-second AI analysis flagged the company as “anxiety seller”—immediate red flag. Forensic investigation confirmed: ghost founder, front man with failed ventures, anonymous controlling investors.
Traditional due diligence would have missed this entirely. The Early Warning System caught it in seconds.
ROI Calculation
Cost of Early Warning: Minimal analysis time.
Value of Early Warning: Avoided catastrophic investment loss.
ROI: Infinite.