How Private Investigators Find People in the UK

January 19, 2022 - Reading time: 8 minutes

As a leading detective agency based in the UK, we are often instructed by our clients to help find people, and for a wide variety of reasons.

Whether you are looking for someone that owes you money, or an old friend, tenant, business partner or family member, a private investigator may be able to help to locate that individual and provide you with details such as their current address/phone number.

The best path taken in a missing persons case is often dependant on the circumstances. When we are tasked with finding people, the first step is typically to review all of the information that our client has available before deciding the best path forwards in each respective case. 

If you are interested in our people finder service, then reach out to us for a free consultation. Please include as much information as possible with your inquiry so that we can review the case and offer a free, no obligation quote if we are able to help.

Private investigators can use a range of tactics when searching for missing people. We will explore some of the more common methods which are used by investigators to find people in this article.

1. People tracing using record searches

As a leading detective agency in the UK, we have years of experience in tracing individuals through public record searches. Record searches are one of the most common solutions used by private investigators to trace people in the UK. It is not just having access to the necessary data, but being able to understand and navigate it, that allows investigators to successfully trace people using record searches.

We have invested in the most modern and up-to-date tracing systems available, which combined with our team’s experience in this area, means that we are often able to successfully locate and trace people for our clients.

Whether you need help to locate a debtor, your biological parent, or in any other case, then we can often assist to find the person you are looking for.

Tracing to find a person’s address

The goal for many clients that instruct us in tracing cases is to locate their subject’s address. In some cases it may also be possible to find the subject’s phone number and other details.

Tracing to find an address from a phone number

Private investigators are often asked to help find address from phone numbers. Whether or not this is possible in your case will depend on the type of phone number provided, which country it is located in, and the type of data available to your investigator.

Private investigators often have access to special databases which can sometimes allow them to perform traces and identify a subject’s name or address using their phone number. These traces are useful in a wide variety of different cases.

Tracing someone that owes you money

If someone owes you money, then they may feel a sense of security by running away and ‘burying their head in the sand’. They might fight this strategy to prove effective – until they are traced by a private investigator.

Tracing debtors is a service which is frequently provided by most private detective agencies. We suggest that if someone owes you money then you should take steps to locate them and recover your capital as soon as possible.

Tracing biological parents

Making the decision to find your biological parents can be difficult enough in and of itself. In most cases and in order to receive accurate and timely results, it makes sense to hire a professional investigator that is experienced in performing sensitive traces.

Please read our article for more information on how to trace your biological parents in the UK.

Tracing a person’s hidden assets

If someone is hiding their assets from you, be they your partner during divorce proceedings, or a litigant in court proceedings, then in many cases an investigator can help to trace and find any assets belonging to the subject which they may be attempting to hide.

Asset trace investigations are often complex. If you require our help with an asset trace investigation then please be sure to include all of the relevant details when getting in touch with us.

Tracing a person in the UK

If you require our help with a UK person trace, then please prepare to send our team all of the details and information relevant to your case. We will typically require the subject’s full legal name, date of birth, and past address. If more information is available to you then please include this in your inquiry.

Tracing a person internationally

In many cases we are able to help trace subjects that reside outside the United Kingdom, our fees tend to vary in these cases. As fees are heavily dependent on the circumstances, please prepare all of the information available and we will offer a free quote if we are able to help you. 

2. On the ground investigations

‘On the ground’ investigative techniques, or social engineering tactics, can sometimes be used by investigators to find people in missing persons cases where other methods have not yielded the desired results.

For example, in one case the subject’s whereabouts was unknown and we were unable to locate him through record searches. After we had exhausted all leads, an agent was deployed to the subject’s last known address. Through posing as an old friend and speaking to a neighbour, we were able to uncover the subject’s new address and phone number.

Thinking outside the box and using an agent to make inquiries during an ‘on the ground’ type investigation can often produce surprisingly good results – especially when you decide to hire an investigator that is experienced in the use of such tactics.

The results in cases where an agent is deployed to try and find information through making inquiries and speaking to people can often be unpredictable – of course you will need to pay your private investigator for their efforts whether the outcome is successful or unsuccessful, and therefore it’s important to consider all potential outcomes before committing to this form of investigation. 

3. Internet or social media research

Most people in modern society have multiple social media profiles, and many will have an even wider digital footprint. This digital footprint can be accessed by private investigators in order to provide clues on the subject’s whereabouts, employment/education details, relationship details, patterns of behaviour, even down to details relating to the subject’s attire.

It is not difficult to understand why social media plays a growing role within many private investigation cases. If a subject shares enough information about their lifestyle and behaviour through social media, then it may be possible to locate them using personal surveillance.

More information

Please visit the PrivateInvestigators-UK homepage for more information about us. We offer free initial consultations for all work, please reach out to one of our experienced team members for more information or to request a fee quote.

The History of Private Investigators

January 6, 2022 - Reading time: 12 minutes

Investigators are not really a new phenomenon. One of the most common sorts of investigators is a private investigator. They have been in business for generations; these artists have fulfilled the wants of a broad spectrum of folks. In certain cases, private investigators are hired to investigate crimes, acquire evidence concerning someone's participation in a crime, run background checks on employees, or just gather information about someone. 

There are a lot of reasons why private investigators are engaged, and they come in a range of sizes and forms. Many private investigators come from a background in the military or police. Then there are recent college graduates wanting to enter into the area of psychology or criminology and narrow their focus.

Find out how private investigators have grown through time to become a powerful investigative tool today in this informative article.

Year 1833: Eugène François Vidocq

French veteran, criminal and privateer Eugène François Vidocq formed the very first known private investigator agency in 1833, the Le bureau des resignments or "Office of Intelligence" and used ex-convicts to conduct tasks which the police officers of the day would not embark on.

Several times, authorities tried to shut down the situation. After solving an embezzlement case in 1842, authorities detained him on accusations of illegal confinement and obtaining money under false pretences. As a result of this, Vidocq subsequently came to believe that the whole thing had been staged. An appeals court freed him from a five-year prison term and a 3,000-franc fine. Private criminal investigations would not be what they are today without his contributions to the fields of record keeping, criminology, and ballistics.

Because of his contributions to the development of specific forms of inquiry and police investigations, this gentleman is well recognized. With this in mind, Vidocq has been formally credited with a variety of record-keeping and plaster casts of shoe imprints that he created to aid in operations. Several of his early ideas and investigative procedures were so important that the French police are still using them many years later.

The Start of Private Investigators 

Immediately after Vidocq, the private investigation industry as we know it was formed. For many private investigators throughout the earlier years, it was a question of providing a service the police were unable or unwilling to provide. Pseudo-lawyers like those in the burgeoning private investigative sector played an increasingly key role, especially when it came to labour and employee relations. 

Due to the French Revolution and men's liberation, the rich resource owners did not like the concept of controlling vast numbers of employees who had generated innovative ideas. When it came to solving situations that could only be resolved via the use of physical force, many private investigators were really nothing more than mercenaries and professional military firms working for the benefit of private clients.

Year 1850: Allan Pinkerton

Allan Pinkerton founded the Pinkerton National Investigative Agency in the United States in 1850, which provided security guards and detective services. At the time, Pinkerton was well-known for his role in thwarting an assassination attempt on President-elect Abraham Lincoln.

Pinkerton's agents provided a wide variety of services, from the equivalent of a privatized military contractor to the duties of security guards. When Pinkerton Detective Agency was at its peak, it had more agents than the United States Army, which prompted the state of Ohio to prohibit the agency because it might be used as a "private army," or militia.

During the labour strife of the late nineteenth century, corporate owners used Pinkerton security to protect protesters and alleged unionists out from their workplaces. When Pinkerton agents enforced Henry Clay Frick's strikebreaking methods in 1892, they ended up murdering numerous individuals. An eye with "We Never Sleep" emblazoned on it is what inspired the moniker "private eye".

These services are supplied in whole or in part by many respected private investigators in today's world since the commercial and private clients equally want detection, being undercover, security, and people tracking.

Year 1852: Inspector Charles Frederick Field

Inspector Charles Frederick Field, well known for his role in Inspector Charles Frederick Field in Household Words, is our next subject. Field wanted to be an actor, but he could not afford it, so he became a Sergeant in the Metropolitan Police's E division instead. In 1846, he founded the detective agency, which he ran until his retirement in 1852 as its chief.

Charles Frederick Field opened an investigation office in the United Kingdom in 1852 after he retired from the Metropolitan Police. Many times, even when it was not absolutely required, Field relished working as a detective in disguise owing to his theatre background.

As a result of their friendship, Dickens penned articles praising Field's work. Unhappy with the company's direction in 1862, Ignatius Paul Pollaky set established a competing agency. While nowadays Pollaky is almost forgotten, his renown in the 1870s and 1880s was so great that he was referred to in many publications and immortalized as 'Paddington' Pollaky for his 'sharp insight' in Patience, an 1881 comedic opera.

Moving Forward to the 21st Century

Private investigators have continued to evolve over the years and now offer a wide range of difference services to both private and corporate clients alike. Some detective agencies tend to focus more on infidelity related investigations and private clients for example, whereas others will focus their services on corporate clients and cases such as insurance investigation or due diligence; and there are numerous other niches which private detectives can choose to focus their businesses on.

Government licensing for private investigators can vary depending upon which jurisdiction you are in and the nature of the business. In the USA for example most states have licensing systems for PIs. In the UK however private detectives have remained largely unregulated.

Home Secretary Theresa May said in July 2013 that private investigators would have to be licenced by the Security Industry Authority (SIA) in order to operate legally. "In order to maintain lofty standards and protect people's privacy, it is essential that private investigators be subject to strict oversight" said Theresa May.

However these plans set out in 2013 were ultimately not introduced and at the time of writing this article private investigators remain unlicensed in the UK.

The answer as to whether or not a licensing system for private investigators would (or will) benefit the industry will vary depending on who you speak to. In the United States where licensing is prevalent, private investigators often charge considerably higher rates than they currently do in the United Kingdom. It is hard to predict the effect licensing may have on the industry overall; and it's understandable that many PIs would prefer to avoid the added bureaucracy and cost that a licensing system would potentially bring. 

Private Investigators UK

With a large network of local investigators boasting years of expertise, Private Investigators UK cover the whole of Britain and beyond. Our detectives cover a full range of different services including infidelity investigations, missing people cases, as well as business and due diligence services. Close protection services and process serving are also offered by us.

Every effort is made to go beyond for the benefit of Private Investigators UK's customers. We provide excellent service to our clients and have extensive international expertise, making us one of the best detective agencies in the United Kingdom.

Services Provided by Private Investigators UK

In order to assist you with a delicate issue that you may be having difficulties with, Private Investigators UK has a team of investigators that can maintain complete confidentiality.

As private investigators, we do not depend on our luck, but on years of experience and a highly trained team to find the answers.

1. Background Checks

Private Investigators UK can run both internal and external background checks on an organization's employees. We are usually in charge of pre-employment screening, but may also be hired to investigate employee misconduct, harassment situations, and illegal or dishonest practices.

We can also help with corporate investigations; such as in the event that a potential merger or partnership is contemplated, we may look at security breaches, business risks, obligation, and unreasonable exchange practices.

2. People Searches

Is there someone you would like to track down but aren't sure how one goes about acquiring the necessary information? For private investigators, public records are a crucial source of basic information. Locating a person via public data is often the fastest and simplest option. 

Private Investigators UK have invested in the most up to date tracing systems which gives a wealth of information and resources to clients that are looking to trace their family, friends, or debtors.

3. GPS Tracking

GPS tracking is a priceless tool for many private investigators. GPS tracking gadgets are not only useful for private investigators, and they are also safe, efficient, and cost-efficient. There are many justifications for tracking someone. It does not matter whether the investigation is civil or criminal in nature; private investigators may use GPS technology to gather evidence under the permitted circumstances. 

GPS permits investigators to conduct the work even without personal invasion of being monitored and tracked in person by a private eye from a distance capturing images or video. GPS trackers typically allow us to provide surveillance on a more effective and cost efficient basis.

4. Infidelity Investigations

There are few things more stressful or devastating than being betrayed by a trusted friend or loved one. Disloyalty, embarrassment, and anxiety may be overwhelming. Even worse, you have no idea whether your sidekick or collaborator is working against you. Anxiety levels skyrocket just thinking about a spouse having an extramarital affair.

While dealing with the results of infidelity investigations can be hard in many cases, clients are typically glad to have found out the truth.

Private Investigators UK know how difficult it can be to deal with infidelity, which is why experienced private investigators are dedicated to helping you find the proof you need. They understand that you need a private investigator to get proof of adultery or disloyalty so that you can go on with your life.

5. Due Diligence on Business

In the business world, due diligence is a widespread practice. Legal counsel and executors could demand that a new company initiative be thoroughly researched before it can start. When screening prospective executives, business partners, suppliers, or contractors for suitability for the job, due diligence might be utilized. 

When acquiring a firm, due diligence is indeed a part of the process. There are a number of benefits to this procedure, including determining the value of a company's assets and obligations, as well as its ability to generate income.

Further information

Private Investigators UK is one of the most well-known and well-established private investigation agencies in the UK. Specialists promise to address your case with the utmost respect and expertise, no matter how large or little it is. Visit the PrivateInvestigators-UK homepage learn more about the services offered by us, or get in touch for a free quote.

10 Tips for Finding a Missing Person

September 13, 2021 - Reading time: 12 minutes

When you discover that a friend or relative is definitely missing, there is no mistaking that feeling in the pit of your stomach. Then there are the questions running through your mind and the fears that you cannot dispel. When a person is missing, time is of the essence and it’s important to act quickly in order to maximize your chances of finding them.

That is why we offer you our top 10 tips for finding a missing person. You are best to work through this list methodically, starting with tip one: 

1. Brainstorm and Make Notes

People don’t just vanish without a trace. Someone somewhere knows something. If you plan to get involved in finding a missing person, start by brainstorming.

Because there are countless reasons for somebody to go missing, you want to explore all possibilities as soon as possible. Then you can take into consideration all the information gathered together about the circumstances around the missing person being missing.

Think about, discuss and consider these likelihoods:

• Are they vulnerable in any way? For example, do they suffer from dementia?
• Theories regarding a possible accident
• Is there something in their life that may have overwhelmed them?
• Did they just need to get away from everything?
• Could they literally be lost?
• Maybe they are avoiding a conflict? 
• Might they be avoiding a creditor?
• Have they committed or witnessed a crime?
• Might they have been abandoned?
• Could they be a victim of a domestic abduction?
• Are they wealthy? Could they have been abducted for ransom?

Create a note-taking facility and note down everything you find out, when you find out, record anything that might be useful in your notes.

2. Research Online

Due to the strength of the internet and the popularity of social media, you can explore their social media accounts for clues to the disappearance. There is also software that helps to explore data banks regarding individuals. You may discover contacts and connections via this method of exploration that no one knew about locally.

3. Look at Their Diary

Not in a nosy, snooping way. You are looking for clues, appointments, activities. Have a look to see if there are any pressing engagements over the next few days. Have a look for an appointment or meeting on the day they disappeared. There could be clues which might place their whereabouts.

4. Explore the Habits of the Missing Person

We are all governed by habit and routine. When someone breaks away from their usual habits, routines and in particular responsibilities that impact on the well being of another person or pet, then there is going to be a very good reason behind that. Explore the possibilities and examine why routines and habits have been broken.

5. Consider Suspects

Try and establish if they have any enemies, maybe they have witnessed a crime, perhaps they have been threatened, or something from their past has come back to haunt them.

Explore if they could have become involved in illegal drugs or otherwise had a run-in with a drug gang operating in the area. 

 6. Check Their Computer to Seek Recent Browser History

Sometimes people intentionally disappear. There could be a number of reasons why, but their browser history may give valuable clues if they have deliberately gone missing. They may have researched an area, looked up about identity change, explored transport costs, even bought tickets. There could be valuable clues from their online searches.

7. Liaise and Interview 

You cannot beat feet on pavements, interviewing and liaising with other people. Begin with any one close to the missing person who was not at the brainstorming. Talk to neighbours, anyone from the household and people that they usually regularly see, for example, the local paper shop owner if they collect a daily paper. When a young person is missing, talking to their friends and peers is an essential method for gaining information. Have a parent, guardian or responsible adult with you when you interview children.

Make a note of everyone you speak to and note down the last time they saw or spoke to the missing person.

8. Have a Phone for Incoming Calls 

Keep a phone free for incoming calls, ideally one that the missing person knows. That way, if they try and call, they are more likely to get through. It also keeps the number free for police to contact you, hospitals to get in touch, or anyone at all with sightings or possible sightings.

The easiest way is to plan to use a friend’s mobile phone for all outgoing calls. That way, you keep yours free for all incoming calls.

9. Plan for there to be Someone at the Home Address at All Times

In case they return home, try and make sure someone is there at all times. Set up a rota if necessary to make sure that someone is there twenty four hours a day, every day.

10. Posters and Social Media

When someone has been missing for a while, talk to the police or your private detective about putting up posters and putting out appeals on social media and other methods they might suggest you could use to generate publicity. You can make fliers and posters. Hand out fliers, put up posters and use them as attachments to social media posts.

The poster and fliers should have a clear up to date photo, the person's age, height, eye colour, what they were wearing when they disappeared. Include any distinguishing features and where and when they were last seen.

Put the posters up on routes they would normally take. Put them up in high foot traffic places where they will be seen by more people. Also, send some posters to other areas that they may have travelled to, such as holiday home location, favourite holiday locations in the UK and overseas.

Why do people go missing?

People go missing for a variety of reasons. Sometimes it’s the person themselves who does not want to be found. Sometimes they are victim to an accident, incident or situation beyond their control. It’s not unusual for there to be something in their life that has become difficult and they have been struggling. So the person has gone away for a while to think or to escape problems. Sometimes this disappearance could be intended to be permanent. At times the person missing could be suffering from some physical health or mental health issues. Both can cause confusion and erratic behaviour. Take into consideration if they are known to suffer any mental health issues. If so, then it's vital to consider their condition when contacting the hospitals and police and when you are working out what might have happened.

Whatever the reason, there are certain things you should do and a number of things you can do to find a missing person. 

Follow this checklist before calling the police and hospitals:

• Check to see if they have left a note
• If they have one, check the whereabouts of their car
• Do a search of the location they were last seen or the home if they are missing from home
• Pay attention to cellars, loft space and sheds in case there has been an accident
• If the lost person is a child, remember that they can fit into small spaces
• If you are not their next of kin, talk to the next of kin to see if they know anything 
• Talk to anyone who lives with them
• Check your phone and email for messages and leave them messages via text, voicemail and email
• Have a look for clues that they may have gone away, such as taking their passport, taken clothes, toothbrush and other items with them?
• Talk to neighbours, contact other friends or family

If all of the above doesn't shed any light, call local hospitals to check for admissions. If they have not been admitted anywhere, recheck your phone to see if they have tried to make contact. Make a note of when anyone last saw them and where that was. Explore if they have failed to complete any usual routines or done something out of character such as not arriving for work, or maybe left a child or pet alone. Have as much information as possible to hand. Then call the police to report the person as missing.

Maybe a child or teenager has run away after a falling out at home and they may have gone to a favourite camping spot, a friends house or somewhere else to hideout.

In the UK, the police are likely to ask you the following:

• Full name, date of birth of the person who is missing
• Request the address of the missing person and any other property such as a holiday home
• Request a recent photograph
• If they have a medical condition
• Next of kin information
• Details of friends or relatives
• Contact details for the person or people who last saw them
• Information about their routines and the places they often visit
• The police may request an item to obtain a DNA sample, such as a toothbrush or hairbrush.

The police will log the person as missing. Missing person details will be available to other UK police forces within 48 hours.

Depending on the circumstances, age and health of the missing person and the policies of the local police force, the police may or may not appear to do much to help find the missing person. If the person is an adult of working age and in good health, they will take and log all the information, make it available to other forces and retain it as an open case. However, they may not have the resources to do much more to help find the person who is missing. It is not illegal to go missing, and if there is no perceived crime or potential danger to health, most forces are not able to offer much help.

In conclusion 

Searching for a missing person is never easy, whatever the circumstances. When you are close to the person and concerned for their welfare, you are stressed and emotional, not to mention tired out. Sooner or later, if they are not found quickly, you have to get back to your own daily life, work, family commitments and so on. After a while, friends and family may no longer want to commit to the house waiting rota. Keep in touch with the local police force. If there is a genuine possibility that the missing person may have travelled to another location, unless the police have done so already, contact the police force in that area and give them the crime reference number (CRN) that the local force has given you.

Different forms of business due diligence

September 10, 2021 - Reading time: 17 minutes

What is Due Diligence?

Due diligence means different things to different businesses. It is a risk assessment where all avenues are explored prior to signing a contract or entering into an agreement with an individual or company. In many cases, due diligence or certainly parts of the process are required in the United Kingdom to protect you from things like money laundering, corruption or getting caught up in identity theft. Due diligence means that you are certain that all the facts have been gathered and analysed regarding an individual or an organisation. It is relevant as an investor before a business accepts an investor or regarding hiring individuals as employees or volunteers. Proceeding without due diligence can create all sorts of problems for you as an individual, for your business or for your employer at any time in the future.

Due Diligence is Never a One Size Fits All

There are many aspects of due diligence that apply in most circumstances, such as regarding recruitment of staff and the checking of investors. Those taking over companies or investing in businesses should also practice due diligence regarding the placing of their investments.

Thorough due diligence means obtaining, cross-referencing and checking information from a wide range of sources. The further the net is spread for information gathering, the better you are reducing the risk of missing something pertinent or failing to satisfy the statutory legal obligations to protect yourself, your company or your business. Depending on the starting point of your situation and the business depends on the information that you are obliged to check and the additional information that you will want to gather depending on the industry and exact category of the business.

The Variations of Due Diligence are Broad

When you hire someone to undertake due diligence, they will assess the requirements of each individual case, loosely categorise and niche down into the relevant fine-tuning checks required for that case. The due diligence requirements will fall broadly within the scope of the following categories:

• Employment – Employee
• Investor Assessment
• Company Investigation 
• Business Authentication
• Knowing Your Clients
• Drug Testing

Employment

When you take on an employee in the UK, it is essential to ensure that they have a legal right to work and live in the UK. It is necessary to check the person thoroughly by investigating the information that they give you. You must first ascertain their identity:

• Name
• Previous names
• Date of birth
• Place of birth
• Physical appearance
• Current address
• Past addresses
• Employment history

For UK residents, this information is best checked by government originated documents to verify name, address and date of birth. At times, you are required to undertake additional checks. Sometimes it is necessary to cross-reference information to check the reliability of the information received.

When the potential employee is not from the United Kingdom, the requirement for due diligence is even more critical. You need to glean as much information as possible about the person, starting with their passport and national identity documentation. The information you receive needs to be checked via an official overseas source, a verifiable official from the country. Due diligence may include using reputable sources to interpret or translate documents.

When a person's qualifications are important, it is also necessary to check the relevant professional directory to confirm their qualifications and suitability to undertake the role. It would also be a wise move to carry out reference checks.

Employment is the one example that is applicable to all forms of business. Other business due diligence tends to include industry or organisation situation-specific requirements.

Investor Assessment

When someone is interested in investing in your business, you will want to check them out just as much as they will check your business out. Gathering and checking information about potential investors means that you can confidently discuss their investment or politely decline when you have done the due diligence and confirmed their past for things like:

• Criminal record
• Former partner disputes
• Being sued for misconduct
• Falsely representing themselves with qualifications they don’t have
• Possible criminal activity

Above are just five examples, but by checking, you have safeguarded the business from an unsuitable investor or reassured yourself that they are a suitable investor.

Companies

Different forms of business due diligence vary depending on the type of company and the situation. Companies can be listed as the following: 

• Public Companies Listed in the UK
• Private and unlisted companies in the UK
• Public Overseas Companies
• Private and Unlisted Overseas Companies

Public Companies Listed in the UK

The due diligence operated regarding public companies varies depending on the exact circumstances, reason and if the company is a listed company, majority-owned or a subsidiary.

Private and Unlisted Companies in the UK

Generally, in the UK, private companies have a lower level of disclosure than public companies. However, there should still be easy to obtain standard identifiers:

• Full name
• Registered business address
• Nature of the business
• Director’s names

At times, additional verification may be obtained via details from company registration. Details of the company and of a director, including their address, certificate of incorporation, and their audited accounts. 

Public Overseas Companies

Due diligence may be simplified for public overseas companies when they are listed on a regulated market as a subsidiary.  The requirements of disclosure include those laid out in:

• The Transparency Obligations directive (2004/109/EC) 
• The Prospectus Directive (2003/71/EC)
• The Market Abuse directive (2003/6/EC) 

Evidencing the company status should be obtained in a similar way to UK public companies.

Private and Unlisted Overseas Companies

This is an area where due diligence is specifically important and can be challenging to obtain. You should establish the company identity the same way as for UK private and unlisted categories. Consideration should be given to robust risk management, information gathering and analysis to ensure due diligence.

Variables on Companies

• Government Organisations
• Foundations
• Charities
• Trusts
• Schools and Colleges
• Clubs and Associations
• Deceased Estate

Government Organisations

Appropriate due diligence is an essential requirement of any form of risk within government organisations. A high risk of misappropriation of public funds or corruption means that a high level of monitoring and verification is essential.

Foundations

The foundation itself must be verified and the relevant industry regulated personnel utilised to check the identity of any relevant persons who are involved with the foundation.

Foundations can also fall under the charity umbrella and due diligence is required to confirm all information.

Charities

Businesses dealing with charities should ensure they have the correct information regarding the charity. All registered charities are listed in the appropriate government registration files, which are the Charity Commission of England and Wales and The Office of the Scottish Charity Regulator for Scotland.

For countries outside of the UK, additional checks may be required to ensure that due diligence has been operated. Confirmation and information should be gained from the home country government offices.

Frequently, the additional factors taken into consideration regarding investing in or otherwise dealing with charities is to check how well known, how well established and how appropriate it is. Another source of information to check is the HMRC tax office. 

Trusts

Trusts are extensively used formations. In most cases, they present limited risk. However, there are certain situations where they create more risk, therefore, each trust situation requires careful risk management strategies and due diligence appropriate to the risk perception.

Schools and Colleges

Some schools and colleges operate as registered charities and others as private companies. Some are local authority managed and others are part of a larger academy. The operating status of the school or college should be verified depending on the category that the school or college falls under; then adhere to the appropriate due diligence for that sector.

Clubs and Associations

Generally, it is accepted that sports and hobby clubs represent a low risk. However, that perception is reason enough to ensure that due diligence is operated regarding these organisations.

The first information would be to obtain:

• The full and proper name
• The legal status of the club or association
• Any registered address and previous addresses
• Names of the officeholders
• Purpose and mission of the club or association

Verification documents include bank statements, local association listings and audited accounts. Investors or potential creditors should operate due diligence to satisfy themselves of the viability of the club or association.

Deceased Estate

Any business called to act for executors or administrator if an estate should establish the situation by obtaining copies of the death certificate, letters of administration or grant of probate. Sight of the will confirming the executors is also a useful aspect of practicing due diligence.

Pension Funds

Any operation regarding pension funds should be verified and evidenced to confirm that the product is a pension scheme.  Methods to obtain the evidence include:

• A consolidating deed for the scheme, including any subsequent amendments
• A recent definitive deed scheme page confirming the name of the scheme

Beneficial Owners

Beneficial Owners fall into these categories:

• Partnerships
• Trusts 
• Legal Entities
• Corporate
• Beneficial Owner of Deceased Estate

Partnerships

Regarding partnerships, the beneficial owner is usually any individual who is entitled to or controls over 25% of the capital or profits of a partnership or has more than 25% of the voting rights. Exceptionally, there are anomalies and due diligence should explore all possibilities.

Trusts

The beneficial owners of trusts vary from that of partnerships. Any individual who has an interest in 25% or more of the capital. Any individual who has appropriate control over the trust where a trust is not set up entirely for the benefit of persons with a specified interest.

Legal Entities

The 25% rule applies to legal entities as well, and due diligence is required to explore, analyse and verify all aspects of arrangements regarding administration and distribution of funds.

Corporate

The corporate beneficial owner is any individual who owns a control directly or indirectly through shareholdings greater than 25% or equivalent voting rights. Or, maybe an individual who operates control over the management of the body.

Beneficial Owner of Deceased Estate

In the case of a deceased estate, the beneficial owner is the executor or administrator of the estate.

Competitor Company Investigation 

It pays to know what your competitors are up to. Knowing about the state of their business affairs and gaining information or intelligence about the competitors in the marketplace to analyse their successes and business activities. Doing so could give your company the edge. There is nothing wrong with this type of checking, it's actually good practice and a good example of due diligence to protect your business.

Business Authentication

This is broadly anything connected with any of the business examples above. You may want to authenticate a business when entering into a new business relationship or if you are an investor considering an investment in an organisation.

Undertaking checks to establish the viability of investing in a business is a sensible approach when investing. By authenticating the business and exploring the identities of the major players, you can proceed with confidence, whether it is an investment or buyout offer. Checking a company profile and other information about a business is the opportunity to check all the company's mechanics before doing business with them.

Knowing Your Clients

Due diligence to check out clients s an excellent way to keep your business clean, whether it's a B2B or B2C relationship. You want to be certain to comply with the money laundering regulations and avoid potential legal repercussions that could arise from relationships with unsuitable businesses.

Drug Testing

Drug testing investigates a potential employee or existing employee to test for class A and class B drugs. Some investigators offer this service and it is a good practice when employees are operating machinery or driving. It’s something that could safeguard your business.

Industry Specific Examples

As mentioned, within the above categories, different industries and even different sectors of the same business will have different due diligence checks and requirements.

Medical Due Diligence 

Due diligence is an essential requirement of all aspects of healthcare. Ensuring that the medical team have the right qualifications and the correct skill mix at all times is only part of the picture. When employing agency staff, due diligence is essential to ensure that they are qualified to carry out the role they have been hired for. When renewing, reviewing or changing suppliers, due diligence is essential to confirm the suitability of the company as well as that the product is fit for purpose.

Financial Due Diligence

Due diligence in the financial industry is an ongoing situation of continuously assessing financial performance and viability. Financial and fiscal performance is monitored and examined, including analysis of economic forecasts and expectations of future prospects.

Operational Due Diligence

Operational checks apply to a variety of organisations and investigate how the operating procedures give value and how feasible the business plan is on a given trajectory. Operational risks and expenditure may also be covered as part of the operational checks.

IT Due Diligence

Continuously checking and keeping IT systems functional, current and safe is essential to many businesses in this digital age. Internal and external checks on IT systems, websites and other tech is an aspect of due diligence that could be ignored at great cost.

Estate Agents Due Diligence

Estate agents must carry out money laundering checks as part of a house sale. They are also required to confirm the right to live in the UK as part of their due diligence checks when renting a home. 

Due Diligence Applies to All Industries

The above is just a brief overview of some of the categories that businesses, organisations and individuals fall under regarding due diligence. This is not supposed to be an exhaustive list. These offer a snapshot into the requirements of due diligence in different circumstances.

When carrying out due diligence checks, it is essential that a wide range of resources are used and verified wherever possible. That way, you ensure that you comply with statutory requirements and safeguard the business as best you can.

Whichever industry you are in it is good practice to utilise due diligence in all areas of your business. It’s the way to safeguard your future.