What are Software Risk Audits?

When companies join forces or one buys another, full visibility of what risk may be under the hood of the software is critical. Software Risk Audits ensure there are no surprises in the code—like what open source and third-party software is included that could get you in trouble because of licensing obligations, security vulnerabilities, or future integration challenges. You also want to make sure there aren’t any security holes or intellectual property conflicts that could make the software less valuable or even risky to use. And of course, you want the code to be good quality and the team behind it to know what they’re doing, so you can keep improving the product later.

Open Source Audits

Whether your company is buying or being bought, you need someone who can take a deep dive into the software and tell you if there’s anything to worry about – and do it quickly. That’s where Open Source Audit services come in. They look at everything: where the code came from, who wrote it, and whether it’s safe and solid. They’ll give you a full report so you can make smart decisions with confidence.

These audits use software composition analysis (SCA) and the expertise of seasoned auditors to deliver a detailed Software Bill of Materials (SBOM). This SBOM includes a rundown of open source and third-party components, their licensing terms, and vulnerabilities so you can see any potential conflicts.

Open Source Audits are in-depth and meticulous processes that are no insignificant investment. As a result, FossID also offers Open Source Insights. It’s a quicker, lighter check-up to see if there might be any big issues before you decide to do a full audit.

Blind Audits for Privacy and Confidentiality

FossID provides open source audits for numerous companies, private equity firms, banks, and others. The open source audit is conducted blindly, meaning that the source code doesn’t have to be exposed to FossID.

Furthermore, no physical visits are required, neither to the acquiring company, nor the target company. Instead, a utility is provided over encrypted channels to create a non-reversible digital fingerprint of the source code, and that fingerprint is used to perform the audit. The results of the audit are presented online, and comprehensive digital reports including SBOMs are shared with the appropriate stakeholders.

The Blind Audit technique pioneered by FossID is described in detail in this Linux Foundation e-book.

Code Security Reviews

To assess a software’s security framework, various methods are at your disposal. Static Application Security Testing (SAST) merges automated scans with expert code analysis to uncover and address critical security flaws like SQL injection, cross-site scripting, and buffer overflows. This provides a granular, inside-out perspective of your code’s security.

Another way is to do a Application Penetration Tests, testing the software like a hacker would to see if they could break in. This helps you understand how tough your software’s defenses are. This includes probing for weaknesses that could be exploited by malicious actors, and simulating real-world attacks to reveal potential breaches.

Code Quality Reviews

Code Quality Reviews blend automated tools with manual scrutiny to shed light on the craftsmanship of the code. These reviews benchmark against industry standards for quality, reusability, extensibility, and maintainability, offering a clear view of the proprietary code’s caliber.

Key Takeaways

Software Risk Audits consider a wide spectrum of software risks—be it open source licensing, application security, or code quality. To do so, you have to deploy the right tactics that include layers of different technology guided by expert auditors.

When evaluating Software Risk Audit services, consider both the breadth and depth of services and how they align with your priorities. In particular, consider how easy the provider is to work with – offering flexible service models and reasonable timelines.