AI Quick Wins Across the PE Deal Lifecycle
Using AI to Reimagine the Deal Lifecycle in Private Equity & Venture Capital
A Practical Framework for Modern PE Firms
Artificial intelligence is on the forefront of disrupting every industry globally, and private equity and venture capital is no exception. According to recent industry research, nearly 95% of private equity and venture capital firms now use AI to some degree in the deal lifecycle. However, the picture beneath this headline figure reveals a more nuanced reality: according to Bain & Company, more than 40% of PE general partners are still in nascent adoption stages, and only around 20% of portfolio companies have operationalised generative AI use cases with concrete results.
The challenge is compounded by regulatory complexity that varies across jurisdictions. These compliance obligations could be hindrances to fast innovation, but when properly implemented they become sources of competitive differentiation through innovative and adaptive approaches to implementing compliant technologies.
This paper presents a practical framework for deploying AI across the complete deal lifecycle: from sourcing and origination, through due diligence and execution, to portfolio operations and exit. Drawing on implementation experience with leading private equity and venture capital firms, we outline the use cases that deliver measurable returns, the architectural decisions that enable scale and the governance structures that mitigate risk.
