Your company’s due diligence process requires a wealth of information to be effective, especially in a world in which global business has become increasingly prevalent.
The following are some ways you can enhance your due diligence process:
- Adverse news search: Regulators suggest the inclusion of an adverse news search as part of any due diligence program. Negative news pinpoints adverse news on a person or company by looking for the entity name in association with derogatory words, such as embezzle, fraud, indict, bankrupt and launder.
- Company reports: Having access to databases full of company reports can provide a company with more in-depth information as part of its due diligence processes. The company’s corporate history profile could tell you if the company changed its name at any point in the past. Global locations could tell you if the company operates in any high-risk parts of the world, which would require greater precaution. This information allows your due diligence processes to be significantly more cohesive.
- Sanctions and watch lists: Getting lists of sanctions and watch lists can help you determine which individuals or companies with which you might now want to do business. Your organization may suffer reputational damage or be subject to penalties or sanctions if you are found to be working with entities on sanctions lists or watch lists.
- Biographical information on individuals: Key facts about individual people, such as their date of birth, relatives, marital history, hobbies, career history, educational background, and credentials, can help you learn more about the kind of person you are working with — or how qualified an individual is to take on a position with your company.
These are just a few examples of how you can bolster your company’s due diligence process. For further legal guidance on this important matter, speak with an experienced Dallas attorney at Whistleblower Law for Managers.