My question is.... what assurance do these investors have if things don't do as planned?

. -$100 will be charged/deducted from your security deposit if damaged or removed-cars must be registered and in operable condition. cars may not be used for storage. management reserves the right to tow any cars not in compliance-management will pay for drain clearance once per year. tenants are responsible for any other clogs. management reserves the right to deduct this from the security deposit-if the unit is part of HUD(section 8) and the unit fails inspection for sanitary reasons, management reserves the right to hire a professional cleaner and deduct $200 from the security deposit.

Because I am a W2 worker this process has been straight forward.What I would like to know now is what do I need to do to make sure that myself and my business partner are protected and in complete compliance with the law. 

The PM firm sends out notices titled "Termination Notice," which appear to be in compliance with the above-quote part of the lease agreement.4.  

I would like to assure that this does not happen so I am thinking of using a Sellerside only hud-1  are you familiar with the process

I'm not sure why I feel the need to assure you that I am not committing tax fraud.

I would read your lease AND the state landlord tenant handbook to see what he is doing not in compliance.

If living in Tx, you must be in compliance with BOTH states lending laws.

In the end, I can point to the permit process during the sale and assure the future owners that there were no shortcuts taken.

Usually it's just a few dollars to download their leases, and they're reviewed by local lawyers so you're in compliance.