Please find below our specific list of criteria for our due diligence checks on new projects
You can use this as a guide for when you do your own checks. If you feel we have missed anything then let us know.
1. Can you earn passively or is the only source of an investors income from introducing others?
2. Are the founders credible and have they got a good track record? (Check Search engines, social media sites such as LinkedIn , magazine publications etc)
3. Are there any fraud warnings from the major crypto fraud alert channels like as the SEC or CBR (Central Bank Russia) who lead in fraud analysis Worldwide?
4. Are there any regulatory bodies especially for binary or forex trading? Are there any patents for technology that are being used?
5. Is there transparency on what they do?
6. Are there any independent audits or endorsements from major entities?
7. Do they have any existing address, owned or rented? If rented, can the owner confirm it?
8. Do they have a website that caters professionally to clients from all walks of life? Check for typos, grammar, use of language.
9. Are there any scam alerts and if so has the company taken steps to appeal them and have them removed?
10. Is there MLM involved ( 99% of MLM opportunities turn out to be illegitimate or scams)
This point is a much deeper dive into credibility. Google trends reports, regulatory body checks, every statement and formal declaration check of the company, employees and associates checks, registrations, historical data, audits, accounts, paperwork, technology including website fluency, withdrawal status or issues, demonstrated revenue documents, EDGAR filing, APD and FINRA checks and affinity fraud.
Please note this is only one category of type of business. There are 11 categories so this is just the surface of the checks
11. Are the founders/leaders/corporate team accessible? If so then we usually arrange an in person or zoom meeting. We then further assess how comfortable and open they are to discussion and challenging questions. Are they defensive? How’s their body language? What language is being used? How salesy is the pitch?
So as you can see, it’s not something that can be done overnight. It’s very multi-layered and complex. The deeper we go, the more time consuming it is.
Some projects can be broken down within minutes to be honest, but others, especially high profile ones take time.
Anyhow we hope you find this checklist beneficial. Let us know if we have missed anything.
