Due diligence is a detailed investigation of the affairs of a business. The aim of due diligence is to identify problems within the business, particularly any issues which may give rise to unexpected liabilities in the future. Due diligence involves a number of different areas of investigation. For example, the company’s financial status will be assessed by accountants and the pension arrangements will be the subject of an actuarial review. As intellectual property rights are the key assets of any biotech company, the business’s IP portfolio will inevitably be the subject of close scrutiny.
Due Diligence Background Checklist
Personal Information & Identity Verification

• Social Security Number Check
• DOB validation
• Preliminary Name and Address History
• Second Name Search
• Credit Header Search
• National Death Index Check
• Driver's License Information
• Driving Record History

Business Relationships & Professional Information

• Business Search

• Business relationships & Corporate Affiliations
• Company Name Search
• UCC Filings
• Legal Actions
• FEIN Search
• Professional License Searches

Professional Verification

• Education Verification
• Employment Verification

Source1: http://pharmalicensing.com/public/articles/view/995877551_3b5be2af61e34
Source2: www.investopedia.com/articles/stocks/08/due-diligence.asp
Source3: http://howtoinvestigate.com/articles/due_diligence_backgorund_checklist.htm