A 26-question self-assessment that produces an objective, 100-point PE Readiness Score across five weighted dimensions.
Start the Assessment About Our PE PracticeComplete each section as honestly and objectively as possible. The assessment takes about 10 minutes, your score updates as you go, and your answers are saved in your browser so you can leave and come back. Peakline uses this same diagnostic in engagement discovery and as a pre-LOI readiness screen.
A few questions carry extra weight and scale to 3 or 5 points instead of 4.
Strong candidate; ready for an institutional process.
Well-positioned; minor gaps to address.
Solid foundation; 6 to 18 months of preparation recommended.
Significant work needed before PE outreach.
Foundational gaps; focus on operational maturity first.
Tap a score for every question. Section totals and your overall score update live in the bar at the bottom of the screen.
Your completed results are emailed to you as a PDF, and a Peakline partner will reach out within 24 hours to go over them with you.
A clear, defensible strategy that aligns with PE investor expectations: market positioning, competitive moats, and growth thesis.
1. Does the company have a clearly articulated 3 to 5 year strategic plan with defined milestones?
2. Is the company's market positioning differentiated, with identifiable and defensible competitive advantages or moats?
3. Has management identified and sized its Total Addressable Market, Serviceable Addressable Market, and target growth vectors?
4. Does the leadership team have a well-defined M&A or organic growth thesis that aligns with typical PE value-creation playbooks?
5. Is there a documented competitive landscape analysis that is reviewed and updated regularly?
The quality, reliability, and sophistication of financial reporting, forecasting, and controls. The most heavily weighted section in the diagnostic.
1. Are financial statements (P&L, balance sheet, cash flow) prepared monthly on an accrual basis and reviewed by management?
2. Does the company maintain a 13-week rolling cash flow forecast updated weekly?
3. Is there an annual budget with monthly variance analysis against actuals?
4. Has the company undergone a formal audit or Quality of Earnings review in the last 2 years? 5-point question
5. Are revenue recognition policies clearly defined and consistently applied (ASC 606 or equivalent)?
6. Does the company track key financial KPIs (EBITDA margin, gross margin, CAC, LTV, ARR/MRR if applicable) on a dashboard or reporting package?
Whether the business has the systems, processes, and infrastructure to scale efficiently under PE ownership without proportional cost increases.
1. Are core business processes documented, standardized, and repeatable, reducing key-person dependencies?
2. Does the company use scalable enterprise technology (ERP, CRM, HRIS, or equivalent) appropriate to its size and growth stage?
3. Is there a defined and functioning organizational chart with clear roles, responsibilities, and reporting lines?
4. Could the company onboard a significant increase in customers or revenue (for example, 2x growth) without a proportional increase in headcount or overhead?
5. Does the company have documented quality control, compliance, or operational risk management frameworks?
The specific levers available to a PE sponsor to accelerate EBITDA growth and enterprise value: pricing power, cost optimization, and revenue expansion.
1. Has the company analyzed pricing and gross margin by product or service line, customer segment, or geography, and identified pricing improvement opportunities?
2. Are there identifiable cost reduction or margin improvement initiatives not yet fully executed (procurement savings, labor optimization, vendor renegotiation)?
3. Does the company have a customer retention and expansion strategy (upsell and cross-sell) with measurable Net Revenue Retention metrics?
4. Is there an identified pipeline of add-on acquisition targets or geographic and product expansion opportunities consistent with a PE buy-and-build thesis?
5. Does management have a documented 100-day value creation plan or equivalent playbook ready for a PE transition?
Cultural alignment, management team readiness, and structural factors that determine fit for a PE-backed ownership model. Each question scores 0 to 3.
1. Is the management team prepared and motivated to operate under PE-style governance: board reporting, KPI accountability, and quarterly reviews?
2. Does the company have a clean, organized cap table with no unusual ownership structures, outstanding warrants, or unresolved shareholder disputes?
3. Is the company free of material pending litigation, regulatory investigations, or compliance issues that could complicate a transaction?
4. Has the leadership team had prior experience with PE-backed environments, institutional investors, or M&A transactions?
5. Do the ownership structure, EBITDA profile, and growth trajectory align with the investment criteria of lower-middle or middle-market PE funds?
Answer all 26 questions above to reveal your readiness band.
Recommended timeline to PE readiness:
Submit your assessment and a Peakline partner will personally reach out within 24 hours to go over your results.