Contract vs Financial Due Diligence

Contract

By ClawHub Community

Draft contracts from scratch with guided questions, clause suggestions, and version tracking.

Financial Due Diligence

By Mohit Agarwal (PM Skills)

Build a complete financial review framework for any investment, acquisition, or partnership.

Contract

• Asks discovery questions to understand your contract type, parties, and terms
• Generates contract clauses based on your answers and offers alternatives for critical sections
• Tracks every version of your draft so you can see what changed
• Identifies potential risks and ambiguities in the language
• Manages multi-party negotiation by tracking positions and suggesting compromises

Financial Due Diligence

• Creates a tailored document request list covering financials, revenue, costs, cash, debt, and tax
• Generates key analytical questions about revenue quality, margins, cash conversion, and liabilities
• Provides a red flags checklist highlighting common warning signs like customer concentration or aggressive accounting
• Outputs a summary assessment template to rate revenue quality, margin sustainability, cash generation, and overall risk

Reach for Contract when…

• You're a freelancer drafting a service agreement with a new client
• You need to formalize a partnership or vendor relationship quickly
• You're negotiating terms and want to track all the back-and-forth versions
• You need a first draft to send to your lawyer for review

Reach for Financial Due Diligence when…

• You're evaluating an acquisition target or investment opportunity and need to know what financial info to request
• You're vetting a major supplier or partner and want to assess their financial stability
• You're preparing for a board meeting or investor discussion and need a structured financial review framework
• You need to understand financial health but don't have a finance background