This chapter explores the usefulness of investigating a company's innovation capability within a commercial due diligence. It describes dimensions of innovation capability that should be investigated within such a due diligence. A due diligence assesses a target company from a commercial, financial, and legal perspective. The chapter also explores the challenges of gathering and interpreting non-financial data, as most innovation capability dimensions are not typically related to more easily accessible financial data. It provides an overview of innovation capability models and the determinants of innovation capability. Companies achieve competitive advantage through acts of innovation. Innovation capability implies that an organization is able to by itself successfully develop inventions or improvements and commercialize them within or outside. Innovation culture guides all actions of individuals within an organization. Innovation process management covers the management of single innovation processes. The innovation portfolio comprises all ongoing and future innovation processes in an organization.