Dili Raises $3.6M to Automate Due Diligence for Private Equity and VC Firms
Dili, a platform aiming to automate key investment due diligence and portfolio management processes for private equity and venture capital (VC) firms using AI, has raised $3.6 million in venture funding to date. The platform, founded by Stephanie Song, Brian Fernandez, and Anand Chaturvedi, leverages GenAI, specifically large language models such as OpenAI’s ChatGPT, to streamline investor workflows.
Dili’s AI technology can extract financial metrics from large unstructured documents with high accuracy. The platform catalogs a fund’s historical financial data and investment decisions in a knowledge base before automating tasks such as parsing databases of private company data and handling due diligence request lists. Additionally, Dili supports automated comparable analysis and industry benchmarking on a firm’s backlog of deals.
Despite concerns about AI’s accuracy and biases, Song emphasized that Dili is fine-tuning its models and does not use private customer data to train them. The startup plans to offer the ability for funds to create their own models trained on proprietary fund data.
Analyst comment
This news can be considered positive for the market. Dili’s AI platform offers automation and efficiency for investment due diligence and portfolio management processes. It has raised $3.6 million in funding, indicating investor confidence. The technology’s ability to extract financial metrics accurately is a competitive advantage. Fine-tuning models and allowing funds to create their own trained models will enhance customization and address concerns about AI biases.
