Due Dilligence of Partners/Investors/Lenders

[Paul Ko]

Does anyone have a list of DD questions to vet potential partners, investors, and/or lenders?  I've noticed that a lot of the time they only vet you and doesn't really give you an indication if they are the real deal.  What type of questions would you ask a potential investor/partner to show that they are for real and that they have the capital to take action?

[Russell Gronsky]

@Paul Ko if you are drawing a blank on questions, google the question you just asked and many pages of good questions will come out in the search. As you read through them, they will help spark your memory and critical thinking, and the questions that come to mind in those moments are the ones you should write down so you don't forget to ask!

Also, for partners and lenders, don't be shy to ask specific questions. Try to dig 2-3 layers deep on 1 or 2 topics that someone who has been in a partnership should be able to rattle off the top of their head and be very specific about them. 

Some examples are how they set up voting if it was an even number of partners, how to settle voting ties, how company property was handled when the partnership dissolved, what was their process for amending the operating agreement, etc. Basically, ask them specific questions about the partnership process itself as they are likely to not know those details unless they've been in a partnership before.

Lenders will depend on if they are commercial or residential lenders.