In our last piece we talked about some of the red flags to keep an eye out for during your due diligence process. There are myriad issues that present themselves as you look at any investment firm, so highlighting them all would be impossible. Remember, this is a process, so you will become more attuned to potential issues as you gain experience. But, the key takeaway should be to keep your eyes open for those things that don’t seem to make sense. In this post I will shift my focus away from red flags to delve a little deeper into some of the ways PE managers may (or may not) differentiate themselves. While we expect all firms to be different and distinct, the truth is that most look pretty similar on the surface. While this observation is unscientific, I would bet that if you were to review the transcripts from 100 GP pitch meetings along with their marketing materials, you would find very little difference in the content of those presentations. Since most firms talk the same talk, it is likely the subtleties that set one firm apart from another. So, how do they do it?