Due Diligence- What would you do?

[Jorge Ruiz]

Hello BP! Need your help. In my attempt to build a team in order to invest out of state I have been reaching out to other investors, property managers- well you get the picture. So I did a check on a certain individual and his company. I checked the Secretary of State web page-nothing. They have a link on their webpage to the Better Business Bureau and it states that company is not registered with them. Checked the office address and it doesn't show up on the map apps or even the real estate apps??? Safe to say I shouldn't do business with this group... what do you think BP Nation? I say no. Thanks Jorge

[Tyler Libby]

The business address isn't real? That's a red flag of course.

BBB doesn't necessarily mean anything.  They are a self-regulated org with no authority so some business don't even bother with them.  

Are they calling themselves an LLC or a corp? Obviously, that would be illegal if they are not registered. They may not be listed with the Sec of state if they are not though, if they are like a DBA or something, I'm not sure of your state's laws on that.

[Tim Reavis]

Check the register of deeds in the county the company operates out of... if it's a DBA (sole proprietor) they'll have the assumed name registered...the SOS will only have records for corps and llc's

[Jorge Ruiz]

Tim Reavis on their website they claim to be an LLC.