Name	*
Email Address	*

1. Is the business operated within an entity to maximize protection of the owners from liability, such as a Corporation, Limited Liability Company, or Limited Partnership?*

Yes No

2. Was the company's incorporation completed, stock issued, information minutes prepared and so forth?*

Yes No

3. Are there written agreements among the owners covering possible problem areas, such as: buy-out plans, succession, sale of interest, and so forth?*

Yes No

4. Since the business was formed, has it kept proper organization records? Annual meetings, board meetings, resolutions, and so forth?*

Yes No

PART 2 - MAINTAINING PROPER LICENSING

5. Does the business have a current city business license?*

Yes No

6. Do you have all required professional licenses kept current; i.e., State Contractor's License Board, Department of Real Estate, etc.?*

Yes No

PART 3 - CONTRACTUAL PROTECTION  AGAINST UNWARRANTED CUSTOMER CLAIMS

7. Does the business use a written contract with its customers to clearly define the rights and responsibilities of each party?*

Yes No

8. Have your contracts been recently reviewed by legal counsel to make certain that they included the state of the art language to protect you from liability?*

Yes No

9. Do your business contract s take advantage of other legal protections available to the business such as: Statutory limitations on liability, limitations on warranties, indemnification, claims procedures, contractual restrictions on filing suit, and so forth?*

Yes No

10. Does the business have defined procedures in place when dealing with complaining customers?*

Yes No

PART 4 - VENDOR ISSUES

11. Does the business use its own written contract with its important vendors?*

Yes No

12. If vendors provide their contract to your business for signing, has such contract been reviewed by your legal counsel prior to its signing?*

Yes No

13. Does the contract include limitations on liability, warranties and indemnifications?*

Yes No

14. Can the business document problems with vendors if necessary and steps taken to correct any problems?*

Yes No

15. Is the vendor required to provide insurance?*

Yes No

PART 5 - COMPLIANCE WITH GOVERNMENTAL REGULATIONS

16. Do any governmental agencies regulate the business (e.g., federal, state, county, city, regional or special district)?*

Yes No

17. Do you have procedures in place to make sure you remain in compliance?*

Yes No

PART 6 - EMPLOYMENT PRACTICES

18. Does the business have an employee handbook that is kept current?*

Yes No

19. Are proper procedures in place to guard against discrimination, harassment, and other illegal actions by employees?*

Yes No

20. Does the business properly document employee hiring, discipline and firing decisions?*

Yes No

21. Does the business comply with the Americans With Disabilities Act, OSHA,and bage and hour laws?*

Yes No

PART 7 - PROTECTION OF TRADE SECRET INFORMATION

22. Does the company have a program in place to protect its valuable business information information (e.g., patents, copyrights, trademarks, trade secrets, customer lists, etc.)?*

Yes No

23. Are registered trademarks being protected against infringers?*

Yes No

24. Does the business have and use nondisclosure agreements with its employees and other parties?*

Yes No

25. Is all confidential or trade secret information labeled as such?*

Yes No

PART 8 - TAX MATTERS

26. Does the business properly pay its payroll withholding and pay quarterly items?*

Yes No

27. Does the business file regular tax returns?*

Yes No

PART 9 - INSURANCE RISKS

28. Does the business carefully and periodically review its insurance policies to determine that there is coverage for the major risks and liabilities which it faces?*

Yes No

29. Does the business maintain current workers compensation insurance?*

Yes No

PART 10 - MISCELLANEOUS RISKS

30. Do you review the applicable federal and state securities laws with your legal counsel prior to bringing new investors into your business?*

Yes No