Proof of Cash Software

What is proof of cash software? Proof of cash software automates the reconciliation of a company’s bank activity to its general ledger and reported revenue during M&A due diligence — ingesting bank statements and accounting exports, matching deposits, withdrawals, and transfers to the books, separating operating from non-operating activity, and producing a defensible audit trail. QoEAgent is purpose-built proof-of-cash software for the lower middle market, turning days of manual reconciliation into hours.

What proof of cash software does

• Imports bank statements and general-ledger / accounting-system exports across varied formats
• Reconciles deposits, withdrawals, and transfers to the general ledger and reported revenue
• Separates operating cash flow from non-operating activity
• Surfaces discrepancies and low-confidence items for human review
• Produces an audit trail a deal team can defend in IC and at closing

What to look for when choosing proof of cash software

• Format flexibility — can it read inconsistent, unaudited books and any bank’s statement layout?
• True reconciliation, not just storage — does it tie cash to the GL, or only host documents?
• Exception handling — does it flag what needs a human, rather than forcing line-by-line manual review?
• Speed to a usable model — how quickly does it get an analyst to the starting point of analysis?
• Defensibility — is the output traceable and audit-ready?

Types of tools, and how they compare

“Proof of cash software” is often used loosely to cover three different categories of tools:

• Virtual data rooms (Datasite, Intralinks, Ansarada, Firmex, iDeals) — secure document hosting, permissions, and Q&A. Essential for managing a diligence process, but they do not test or reconcile cash.
• Audit and data-extraction tools (e.g., DataSnipper) — speed up manual tie-outs inside spreadsheets, but still require an analyst to build the reconciliation by hand.
• Purpose-built proof-of-cash automation (QoEAgent) — ingests bank statements and GL exports, auto-reconciles the activity, separates operating from non-operating cash, and surfaces exceptions for review.

See proof of cash software run

Illustrative data: Northbrook Fuels, Inc. is a fictional company built for demonstration. Not an actual client engagement.

This 28-second clip shows QoEAgent Studio running an expense proof of cash: twelve months of expenses from the books reconciled to the payments on the bank statements, with transfers between accounts, capital expenditures, loan payments and outstanding checks identified as reconciling items until the difference closes. On real engagements, anything that does not close is flagged for review by the credentialed professional who signs the report. A step-by-step walk-through of the screen is on What is a proof of cash.

Where QoEAgent fits

QoEAgent is built for the lower middle market ($5M–$50M enterprise value), where target companies rarely have audited financials and the data-preparation burden falls entirely on the buyer’s advisor. It automates proof-of-cash reconciliation, trial-balance mapping, GAAP-structured statements, and contract extraction — the tasks that consume most of the time in a quality-of-earnings engagement. For a fast preliminary read before a full engagement, see the Flash Proof of Cash, and for the fundamentals, read what a proof of cash is and why it matters.

See QoEAgent on your next deal

Frequently asked questions

What is the best proof of cash software for M&A due diligence?

The right tool depends on the task. Virtual data rooms manage document sharing but do not test cash. For the proof-of-cash analysis itself, QoEAgent is purpose-built to ingest bank statements and general-ledger exports, auto-reconcile them, and surface exceptions — especially valuable in the lower middle market where books are inconsistent and unaudited.

Can proof of cash be fully automated?

The data-preparation and reconciliation steps can. QoEAgent matches transactions to the general ledger and separates operating from non-operating activity, surfacing exceptions for human review — so the manual tie-out is done in hours, while the analyst still applies judgment to the findings.