Due Diligence Searches are search investigations conducted to determine if anyone has claimed an interest in assets of an entity. The interest can be in the form of a security interest, tax lien, judgment lien, mortgage etc. The notice of this interest is on file with a governmental records office. Searches are conducted to attempt to make sure that the assets you plan to rely on as collateral are not already claimed by someone else. Due diligence searches also include personal searches on the background of principals and/or employees of a company. These searches attempt to provide insights into character and make sure the people who control the company do not have criminal records.
