In private equity, the quality of your questions determines the quality of your returns. While traditional diligence often gets bogged down in historical financials, today's top-quartile funds know the real value is hidden in the operational, technological, and cultural layers of a business. This isn't just about finding skeletons in the closet; it's about uncovering the hidden levers for growth that others miss. A generic checklist won't cut it when millions, or even billions, are on the line. You need a framework that pressures every assumption and quantifies every opportunity.

This guide provides a comprehensive private equity due diligence checklist designed for high-net-worth operators and PE principals who need to move beyond ticking boxes and start identifying true, defensible value. Forget the surface-level audit. We’re providing the exact questions, document requests, and red flags you need to scrutinize everything from unit economics and customer concentration to tech stack scalability and cultural integration risks.

We'll break down the 10 critical areas you must investigate to de-risk your investment and build a concrete value creation plan before you even sign the deal. Each section is built to be actionable, giving you a clear roadmap to follow. Consider this your playbook for separating the merely good deals from the truly great ones. Let’s dive into the framework that will help you underwrite your investment with confidence and precision.

1. Financial Performance & Unit Economics

This is where the rubber meets the road. Before you even think about operational synergies or market expansion, you need to tear apart the target company’s financials. This isn't just about looking at the top-line revenue; it's a deep dive into the very engine of the business to confirm it's as healthy and scalable as it appears.

The core of this analysis involves validating historical financial statements, assessing the quality of revenue, and scrutinizing profitability metrics. You're looking for sustainable cash flow, not just accounting profits. For tech or subscription businesses, this means zooming in on unit economics like Customer Acquisition Cost (CAC) and Lifetime Value (LTV). A healthy LTV:CAC ratio (typically 3:1 or higher) is a strong indicator of a viable business model.

Implementation in Action

• Example 1: SaaS Target: A PE firm identifies a SaaS company with a CAC payback period under 12 months. This signals an efficient sales and marketing engine, making it a prime acquisition target because new capital can be injected to scale growth rapidly and profitably.

• Example 2: Service Business: By analyzing profit margins by customer segment, a firm discovers that small-to-medium business clients are significantly more profitable than enterprise accounts, contrary to the seller's narrative. This insight reshapes the post-acquisition growth strategy.

Actionable Tips for Your Checklist

• Normalize EBITDA: Always request a schedule for normalized EBITDA. Adjust for one-time expenses (like legal settlements), owner-specific costs (like personal travel), and any non-recurring revenue to get a true picture of operational profitability.

• Benchmark Everything: Don't analyze margins in a vacuum. Compare the target’s gross margin, operating margin, and net margin against direct competitors and broader industry benchmarks to identify strengths or weaknesses.

• De-Risk Revenue: Analyze customer concentration. If any single customer accounts for more than 10-15% of total revenue, it’s a major red flag that needs to be addressed in the valuation or deal structure.

• Project Scenarios: Build a financial model with three distinct scenarios for the next 3-5 years: a conservative case, a base case (most likely), and a bull case. This helps you understand the range of potential outcomes for your investment. Learn more about calculating the ROI of your growth strategies to strengthen these projections.

2. Management Team & Organizational Capability

Your investment thesis is only as good as the team that executes it. A stellar product and a booming market can easily be squandered by weak leadership or a toxic culture. This part of the private equity due to diligence checklist goes beyond resumes and org charts to assess the management team’s competence, cohesion, and capacity to drive the value creation plan post-acquisition.

Evaluating organizational capability means identifying who the real linchpins are, assessing retention risk, and spotting any crucial leadership gaps. You need to understand the team’s historical performance, their alignment on future strategy, and whether their incentives are structured to deliver on your investment goals. It’s about determining if you’re backing a winning team or inheriting a massive HR problem.

Implementation in Action

• Example 1: The Critical COO: A PE firm discovers the COO is the true operational mastermind, even though the CEO is the face of the company. They negotiate a substantial two-year retention bonus and equity package specifically for the COO to prevent their departure and ensure a smooth transition.

• Example 2: Hidden Leadership Weakness: During interviews, a firm finds a strong VP of Sales but uncovers a chronically underperforming finance team that has masked issues with poor reporting. This insight leads them to budget for a new CFO and a complete finance infrastructure overhaul post-close.

Actionable Tips for Your Checklist

• Conduct 360-Degree Reference Checks: Don't just talk to the references provided. Speak with former direct reports, board members, and key external partners to get an unfiltered view of each leader's strengths and weaknesses.

• Review Key Employment Documents: Scrutinize all employment agreements, non-compete clauses, and especially change-of-control provisions. Understand exactly what financial obligations are triggered by an acquisition and who might have an incentive to leave.

• Assess Performance Against KPIs: Go beyond interview impressions. Request and review management's performance against their own OKRs or KPIs for the past three years. This provides hard data on their ability to set and achieve strategic goals.

• Plan Retention and Replacement: Before signing the LOI, build a detailed plan outlining retention packages for critical talent. Simultaneously, calculate the potential cost and timeline for recruiting replacements for any identified weak links on the team.

3. Customer & Revenue Quality

A company’s revenue is only as strong as the customers generating it. This part of the private equity due diligence checklist moves beyond the numbers on a spreadsheet to evaluate the actual health, stability, and loyalty of the target's customer base. It's about understanding the "why" behind the revenue: are customers happy, are they at risk of leaving, and is the revenue stream truly predictable or built on a house of cards?

The goal here is to de-risk the top line by analyzing revenue concentration, churn patterns, and customer satisfaction. A high-growth company can look fantastic until you realize two clients account for 40% of its revenue and their contracts expire in six months. This analysis involves reviewing customer contracts, conducting direct interviews, and performing cohort analysis to confirm that the revenue is sticky, defensible, and has room for growth.

Implementation in Action

• Example 1: B2B SaaS Target: A firm analyzes a SaaS company and finds a stellar 95% gross retention rate. However, a deeper look reveals Net Revenue Retention (NRR) is only 60%, indicating existing customers are not upgrading or are actively downgrading plans. This signals a product or pricing issue that limits future growth from the installed base.

• Example 2: Manufacturing Business: Diligence reveals two major customers represent 40% of total revenue. Worse, both contracts are set to expire within 12 months with no auto-renewal clause. The PE firm flags this as a major risk and builds a significant earn-out into the deal structure, tying a portion of the purchase price to the successful renewal of these key accounts.

Actionable Tips for Your Checklist

• Interview Key Customers: Don't just rely on the seller's curated list. Request to interview 15-20% of the customer base, ensuring a mix across size, geography, and tenure to get an unbiased view of satisfaction and future intent.

• Analyze Customer Cohorts: Track customer retention and spending habits by their acquisition year. This will reveal if product quality or customer success has improved or declined over time, providing a more nuanced view than a simple overall churn rate.

• Scrutinize Concentration: Request an unredacted customer list with contract values and renewal dates. Validate that no single customer makes up more than 15-20% of revenue. Any significant concentration must be understood and mitigated.

• Review Support & Satisfaction Data: Ask for Net Promoter Score (NPS) data, customer support ticket trends, and logs of customer complaints. A rising tide of support issues or declining satisfaction scores can be an early warning of future churn. Learn more about the key metrics behind customer value to see how this ties into profitability.

4. Market Size, Growth, & Competitive Position

A fantastic product in a dying market is a poor investment. This step moves your analysis from the company's internal operations to its external environment. You need to understand the sandbox the company is playing in: Is it a vast, growing beach, or is it a shrinking puddle? This part of the private equity due diligence checklist evaluates if the market dynamics can support your growth thesis.

The goal is to verify the Total Addressable Market (TAM), analyze the market's growth trajectory, and pinpoint the target's unique position within the competitive landscape. A company with a defensible moat in a large, expanding market is a recipe for a grand-slam return. You're looking for evidence of a sustainable competitive advantage that will hold up long after the deal closes.

Implementation in Action

• Example 1: B2B SaaS Target: A PE firm analyzes a SaaS company in a hot $50 billion TAM. Despite its strong product, the company has only captured 0.5% market share, signaling a massive, multi-year growth runway that new capital can unlock.

• Example 2: Healthcare IT Vendor: A firm looks at a profitable Healthcare IT company in a stagnant $8 billion market. While the business is stable, the lack of market growth shifts the investment thesis from organic expansion to a "buy-and-build" consolidation play.

• Example 3: Niche Consulting Firm: A target consulting firm serves a specialized $2 billion compliance market. Its category leadership gives it immense pricing power and high margins, making it an attractive asset despite the smaller TAM.

Actionable Tips for Your Checklist

• Triangulate Your TAM: Don't rely on a single data point. Use multiple sizing methods like top-down (analyst reports), bottom-up (sum of potential accounts), and value theory (what a customer is willing to pay) to arrive at a more defensible market size.

• Verify with Primary Research: Analyst reports from firms like Gartner or Forrester are a great start, but don't stop there. Interview customers, non-customers, and even former employees of competitors to get the real story on market direction and buying trends.

• Assess Barriers to Entry: What stops a new competitor from easily entering the market? Look for high barriers like proprietary technology, strong brand loyalty, high customer switching costs, or deep regulatory hurdles.

• Evaluate Consolidation Potential: Determine if the market is consolidating (a few large players emerging) or fragmenting (many new small players entering). This insight is critical for shaping your post-acquisition strategy. For more on this, check out our guide on what competitive intelligence is and why it matters.

5. Legal, Compliance & Regulatory Risk

This is where you unearth the skeletons in the closet. A pristine financial model can crumble under the weight of undisclosed litigation, a surprise change-of-control clause, or a regulatory breach. This part of the private equity due diligence checklist is about de-risking the investment from a legal and structural standpoint, ensuring there are no hidden landmines that could detonate post-acquisition.

A thorough legal review confirms the company's good standing, validates its corporate structure, and scrutinizes its contractual obligations. It’s a deep dive into litigation history, intellectual property ownership, and adherence to industry-specific regulations. Ignoring this step is like buying a house without a title search; you might end up owning someone else’s problems.

Implementation in Action

• Example 1: Undisclosed Litigation: A PE firm discovers a pattern of previously undisclosed product liability claims against a manufacturing target. This insight leads to a $5M reduction in the purchase price to account for the potential future settlement costs.

• Example 2: Contractual Red Flag: During contract review, counsel finds that the target’s largest customer contract contains a change-of-control provision allowing for termination upon acquisition. This gives the PE firm leverage to renegotiate terms or build a contingency plan before closing.

• Example 3: Regulatory Gap: An audit reveals a healthcare tech vendor lacks required state-level licensing in three key markets. This forces a decision to either remediate immediately at a significant cost or adjust the growth strategy to exit those geographies.

Actionable Tips for Your Checklist

• Engage Specialists Early: For highly regulated industries like healthcare, fintech, or government contracting, bring in industry-specific legal counsel at the start of the diligence process. Their expertise is invaluable.

• Verify Corporate Health: Request the certificate of good standing, articles of incorporation, bylaws, and the full capitalization table. Ensure everything is clean, up-to-date, and accurately reflects ownership.

• Scrutinize Key Contracts: Don’t just skim. Review all material contracts (e.g., those over $500K in value) and pay special attention to any with change-of-control clauses, termination rights, or automatic renewal provisions.

• Audit HR Compliance: Beyond traditional legal reviews, a detailed look at human resources practices is essential to avoid employment-related liabilities. Using a comprehensive HR audit checklist to avoid legal risks can uncover issues related to misclassification of employees, wage disputes, or non-compliance with labor laws.

• Confirm IP Ownership: Ensure all intellectual property is cleanly owned by the company, not the founders or employees. This includes auditing the use of open-source software for any restrictive licenses that could impact your commercial plans.

6. Technology, Systems & Scalability

A flashy product or service is only as good as the technology propping it up. In today's digital world, a company's tech stack isn't just a cost center; it's the core infrastructure that enables (or inhibits) future growth. This part of the private equity due diligence checklist involves a deep inspection of the target’s systems, architecture, and overall technical health to ensure it can handle the scale you’re planning to achieve.

The goal here is to uncover hidden risks like crippling technical debt, security vulnerabilities, or a system that will buckle under the pressure of increased customer load. You're assessing whether the technology is a growth asset or a liability that will require millions in unforeseen post-acquisition investment. It's about ensuring the engine can be supercharged, not rebuilt from scratch.

Implementation in Action

• Example 1: Legacy Architecture: A firm discovers the target's core platform is a monolithic system that requires an 18-month cloud migration before any new features can be added. This insight forces them to adjust the post-acquisition timeline and bake the significant migration cost into their financial model.

• Example 2: Skill Gaps: During diligence, it becomes clear the in-house development team lacks modern DevOps and cloud infrastructure skills. The PE firm identifies this as a key risk and pre-emptively budgets for hiring new talent and engaging external consultants post-close.

Actionable Tips for Your Checklist

• Bring in an Expert: Engage a fractional CTO or a technical advisor to conduct a thorough architecture review. They can spot red flags in code quality, system design, and scalability that a generalist might miss.

• Assess Code and Security: Request access to the code repository to review quality, test coverage, and documentation. Separately, verify security certifications (like SOC 2 or ISO 27001) that are critical for the target’s customer base.

• Model Tech Costs: Don’t just look at historical IT spend. Model the infrastructure, software licensing, and development team costs required to support your 3-to-5-year growth plan, including any necessary upgrades.

• Interview the Team: Talk to the engineers and product managers. Ask about their biggest challenges, their development roadmap, and their satisfaction with the current tech stack. Their answers can reveal a lot about hidden problems. Discover how the right technology stack can supercharge your growth and what to look for.

7. Sales & Marketing Effectiveness

A company’s growth story is only as strong as the engine driving it. This part of the private equity due diligence checklist moves beyond financial statements to scrutinize the go-to-market machine. The goal is to determine if historical growth is the result of repeatable, scalable processes or if it's propped up by a few heroic efforts or unsustainable spending.

Here, you're evaluating everything from the sales team's composition and productivity to the true ROI of marketing campaigns. Is the Customer Acquisition Cost (CAC) for the self-serve channel dramatically different from the enterprise sales motion? Understanding these dynamics reveals where capital can be injected for maximum impact and exposes potential risks, like over-reliance on a single rainmaker. It’s about confirming the company can actually execute on its growth plan post-acquisition.

Implementation in Action

• Example 1: The Superstar Sales Rep: A PE firm discovers that one top-performing salesperson was responsible for 75% of new ARR over the last two years. This represents a massive flight risk. The deal is restructured with a significant portion of the seller’s proceeds tied to an earn-out contingent on that rep’s retention and the successful transfer of their knowledge and relationships.

• Example 2: Marketing ROI Misalignment: Analysis shows that the marketing team is pouring budget into trade shows with a 2:1 ROI, while a less-hyped content marketing channel is quietly delivering an 8:1 ROI. This presents an immediate post-close opportunity to reallocate spend for a quick and profitable growth lever.

Actionable Tips for Your Checklist

• Audit the Pipeline: Don't take the sales pipeline at face value. Request historical data on conversion rates by stage and forecast accuracy. An inflated pipeline can hide serious go-to-market issues.

• Map Acquisition Costs: Calculate a fully-loaded CAC for each channel. This must include salaries, commissions, tools, and overhead. Uncovering a highly efficient but underfunded channel is a significant value creation opportunity.

• Analyze Sales Team Performance: Request detailed sales compensation plans and quota attainment history for every representative over the past 2-3 years. This helps identify top performers, under-performers, and potential retention risks.

• Assess Process Maturity: Evaluate the sales and marketing technology stack (CRM, marketing automation) and the documented processes. A mature, well-documented process is far more scalable than one that lives in the heads of a few key employees. Dive deeper into measuring marketing campaign effectiveness to build a robust model.

8. Operations & Supply Chain

A slick financial model means nothing if the company can't actually deliver its product or service efficiently and at scale. This part of the private equity due diligence checklist moves from the spreadsheet to the factory floor or service center. It’s a critical assessment of how the company produces what it sells, manages its resources, and handles its supplier relationships.

This analysis is all about identifying hidden risks and untapped potential. A fragile supply chain, inefficient processes, or an inability to scale can cripple a business post-acquisition. Conversely, identifying opportunities for working capital improvement or operational efficiencies can create massive value and quick wins for the new owner.

Implementation in Action

• Example 1: Manufacturing Target: A PE firm discovers a manufacturer running at 95% capacity. While this looks efficient, it’s a major red flag for growth. The due diligence uncovers that any significant revenue increase would require a multi-million dollar CapEx investment in a new facility, a cost not factored into the initial valuation.

• Example 2: E-commerce Business: Analysis of inventory management reveals a Days Inventory Outstanding (DIO) of 90 days, while the industry average is 45. This flags a massive working capital opportunity. By improving inventory turns post-close, the firm could release over $10 million in cash.

Actionable Tips for Your Checklist

• Map the Supply Chain: Create a visual map of the entire supply chain from raw materials to the end customer. Pinpoint any single points of failure, such as relying on a single supplier for a critical component, and assess the risk.

• Calculate Working Capital Metrics: Don't just accept the financials at face value. Calculate and benchmark Days Inventory Outstanding (DIO), Days Payables Outstanding (DPO), and Days Sales Outstanding (DSO) against direct competitors to spot inefficiencies.

• Conduct On-Site Assessments: Bring in an operations expert to walk the floor. They can spot issues with workflow, equipment maintenance, and quality control that won't show up in a data room.

• Review Quality Metrics: Analyze trends in defect rates, product returns, and customer complaints related to service delivery. A rising trend indicates a deeper operational problem that could impact brand reputation and future costs.

• Assess True Scalability: Ask the hard questions. Can the current operational footprint, including people, processes, and technology, support 50% revenue growth without a major capital investment? If not, what would it cost to get there?

9. Valuation, Deal Structure & Financing

This is the synthesis of all your diligence findings. An amazing company can be a terrible investment if you overpay or structure the deal poorly. This phase translates operational realities, market dynamics, and financial performance into a concrete valuation, a viable deal structure, and a robust financing plan that together generate an attractive risk-adjusted return.

The heart of this exercise is determining a fair price and how to pay for it. You’ll use multiple valuation methodologies like Discounted Cash Flow (DCF), comparable company analysis (public comps), and precedent transaction analysis. Just as crucial is modeling the post-close capital structure to ensure the company isn't over-leveraged and can withstand market headwinds. This entire process is a critical part of any private equity due diligence checklist.

Implementation in Action

• Example 1: SaaS Valuation Risk: A firm evaluates a SaaS target trading at an 8x EV/Revenue multiple, while market comps are closer to 5x. The premium is justified by the seller based on a high growth rate. The diligence team identifies this as a major risk; if growth slows post-acquisition, the multiple could compress, severely impacting the exit valuation and returns.

• Example 2: LBO Refinancing Risk: A proposed leveraged buyout involves 4.5x net leverage. The financial model shows an EBITDA interest coverage ratio of just 1.2x. This razor-thin margin creates significant refinancing risk, especially in a rising interest rate environment, prompting the deal team to negotiate a lower purchase price or seek less aggressive financing terms.

Actionable Tips for Your Checklist

• Build a 3-Scenario DCF: Create a dynamic DCF model with conservative, base, and bull cases. Meticulously document every assumption, from revenue growth to terminal exit multiples. This helps quantify the range of potential outcomes.

• Triangulate Valuation: Don't rely on a single valuation method. Use public comps, precedent transactions, and your DCF model to triangulate a reasonable valuation range. If one method gives a wildly different result, understand why.

• Stress Test the Capital Structure: Model the proposed financing structure and run sensitivity analyses. How does a 2% increase in interest rates affect cash flow and covenant compliance? What happens if EBITDA drops by 15%? Ensure the business can survive a downturn.

• Focus on IRR and MoIC: Use both Internal Rate of Return (IRR) and Multiple on Invested Capital (MoIC) as your key return benchmarks. A deal might have a high IRR but a low MoIC if it’s a short hold, so you need both metrics to get the full picture.

10. Cultural Fit & Integration Risk

This is where deals can quietly fall apart post-close. You can have the most pristine financials and a rock-solid growth strategy, but if the two organizational cultures clash, you risk a talent exodus, plummeting morale, and a complete failure to execute on your value creation plan. Assessing cultural fit isn't a "soft" science; it's a critical risk-mitigation step in any private equity due diligence checklist.

This analysis goes beyond surface-level observations. It involves understanding the target's core values, communication styles, decision-making processes, and overall work environment. A rigid, process-heavy PE firm acquiring a nimble, entrepreneurial startup is a classic recipe for disaster if the integration isn't handled with extreme care. The goal is to identify potential friction points early and determine if the cultural gap is a bridgeable divide or a fatal flaw.

Implementation in Action

• Example 1: Talent Exodus: A PE firm acquires a creative agency known for its flat hierarchy and autonomous culture. By imposing a rigid, top-down reporting structure, they inadvertently trigger the resignation of key creative directors within six months, destroying the very value they sought to acquire.

• Example 2: Conflicting Sales Teams: An acquirer merges two sales teams with different compensation structures, one based on individual commissions and the other on team-based goals. The resulting internal conflict and lack of collaboration tank sales performance for two quarters until a unified structure is implemented.

Actionable Tips for Your Checklist

• Conduct Cultural Interviews: Go beyond the C-suite. Hold confidential conversations with a cross-section of employees, from mid-level managers to frontline staff, to get an unfiltered view of the company's real culture.

• Assess Change Readiness: Investigate the company's history with major changes. Have they successfully navigated a previous acquisition, a major tech implementation, or a leadership transition? Past performance is a strong indicator of future adaptability.

• Identify Cultural Mismatches Early: Map out the core values of both organizations. Where are the obvious disconnects? Is one company risk-averse while the other thrives on experimentation? Acknowledging these differences is the first step.

• Build a 100-Day Plan: Don't wait until after closing to think about integration. To proactively address potential challenges, it is wise to learn how to effectively implement a post merger integration checklist by detailing communication plans, leadership messaging, and key milestones before the deal is even signed.

• Budget for Integration: Earmark funds specifically for change management. This could include hiring integration consultants, conducting team-building off-sites, or providing specialized training to help bridge cultural gaps and align the combined teams.

10-Point Private Equity Due Diligence Comparison

Turning Diligence into Your Competitive Advantage

We’ve journeyed through the intricate maze that is the private equity due diligence checklist. From the hard numbers of financial performance and unit economics to the softer, yet equally critical, elements of cultural fit and management capability, each checkpoint serves a vital purpose. It’s easy to view this process as a grueling, box-ticking marathon designed solely to uncover deal-killing skeletons. But that perspective misses the real prize.

The true power of a world-class due diligence process isn't just about avoiding bad deals; it’s about architecting great ones. It’s about transforming a checklist from a defensive shield into an offensive playbook. The insights you unearth during this intense period are the raw materials for your value creation plan. They don’t just tell you if you should buy the company; they tell you how to run it better from day one.

From Checklist to Playbook: The Real ROI of Diligence

Think about the ten core areas we've covered. Each one provides a direct input into your post-close strategy.

• Financial & Unit Economics: This doesn't just confirm profitability. It pinpoints the most and least profitable customer segments, informing your go-to-market focus for the first 100 days.

• Management & Org Structure: This isn't just about vetting the CEO. It’s about identifying the A-players you need to retain and the talent gaps you need to fill, letting you start recruiting for a key role before the ink is even dry.

• Customer & Revenue Quality: You’re not just looking for churn. You’re mapping customer concentration to build an account expansion strategy and identifying at-risk revenue that needs immediate attention from your new customer success team.

• Technology & Systems: This isn’t a simple IT audit. It’s a roadmap for scalability. You’ll know exactly which legacy system needs to be replaced in year one to unlock the growth you modeled.

Every question you ask, every document you request, should be aimed at building this forward-looking plan. The goal is to walk into the first board meeting not with a list of problems you found, but with a prioritized, data-backed action plan to solve them. This is how you compress timelines and accelerate returns.

Your Diligence Process is Your Brand

For operators, advisors, and PE principals whose reputation is their primary currency, the way you conduct diligence speaks volumes. A sloppy, disorganized, or superficial process signals a lack of strategic depth. Conversely, a thoughtful, incisive, and well-managed diligence process demonstrates expertise and builds immense confidence with sellers, management teams, and co-investors.

Key Insight: Your private equity due diligence checklist is more than an internal tool; it's an external signal of your operational acumen. A sharp, insightful diligence process attracts higher-quality deals and better talent because it proves you know how to create value, not just financial engineer it.

Mastering this framework means you're not just buying a company; you're building a blueprint for its future success before you even own it. It allows you to move with speed and conviction post-close while your competitors are still trying to figure out where the bathrooms are. The ultimate competitive advantage in private equity isn't finding the perfect company. It's having the perfect plan to make any good company great. And that plan begins, and is won, in diligence.

Tired of wrangling scattered spreadsheets and email chains to manage your diligence process? Naviro centralizes your entire private equity due diligence checklist, from document requests to risk scoring, in a single, collaborative platform. Scale your expertise and turn your unique playbook into a repeatable, high-performance engine for every deal at Naviro.