Deal Screening

description: Quickly screen inbound deal flow — CIMs, teasers, and broker materials — against the fund’s investment criteria. Extracts key deal metrics, runs a pass/fail framework, and outputs a one-page screening memo. Use when reviewing new deal flow, triaging inbound materials, or deciding whether to take a first call. Triggers on “screen this deal”, “review this CIM”, “should we look at this”, “triage this teaser”, or “deal screening”.

Workflow

Step 1: Extract Deal Facts

From the provided CIM, teaser, or description, extract:

• Company: Name, location, sector/subsector
• Description: What they do (1-2 sentences)
• Financials: Revenue, EBITDA, margins, growth rate
• Deal type: Platform, add-on, recap, minority, carve-out
• Asking price / valuation: Multiple, enterprise value if stated
• Seller motivation: Why selling now
• Management: Rolling or exiting
• Key customers: Concentration risk
• Key risks: Obvious red flags

Step 2: Screen Against Criteria

Apply the fund’s investment criteria (ask user if not known):

Criterion	Target	Actual	Pass/Fail
Revenue range
EBITDA range
EBITDA margin
Growth profile
Sector fit
Geography
Deal size / EV
Valuation (x EBITDA)
Customer concentration
Management continuity

Step 3: Quick Assessment

Provide a 3-part assessment:

1. Verdict: Pass / Further Diligence / Hard Pass
2. Bull case (2-3 bullets): Why this could be a good deal
3. Bear case (2-3 bullets): Key risks and concerns
4. Key questions: What you’d need to answer on a first call

Step 4: Output

One-page screening memo suitable for sharing with partners or an IC quick screen.

Important Notes

• Speed matters — screening should take minutes, not hours
• Be direct about red flags. Don’t bury concerns
• If financials seem inconsistent or incomplete, flag it explicitly
• Ask for the fund’s criteria upfront if this is the first screening
• Save screening criteria in memory for future deals once confirmed