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:
- Verdict: Pass / Further Diligence / Hard Pass
- Bull case (2-3 bullets): Why this could be a good deal
- Bear case (2-3 bullets): Key risks and concerns
- 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