How can I conduct due diligence before investing?

Before investing in any company, it is important to conduct due diligence to protect yourself against investment fraud. In Florida, this includes researching the company, the people involved in the investment opportunity and the investment itself. Begin by researching the people behind the investment. Look up their background and financial history. Check to see if they have a long history of successful investments and ask for references from other investors. Make sure all of the paperwork associated with the investment, such as contracts and financial documents, is properly filed. Then, research the company itself. Look up its financial documents, such as the latest audited financials. Make sure the company is registered with the Securities and Exchange Commission if it is publicly traded. Have a lawyer review any contracts or documents associated with the investment. Finally, research the investment itself. Ask questions about the risk and potential returns associated with the investment. Make sure the investment is in line with your financial goals and risk tolerance. In addition to researching the people, company, and investment, it is important to also get a second opinion. Consult with an experienced financial advisor or lawyer who can provide advice and guidance on the investment. By conducting due diligence before investing, you can help protect yourself against investment fraud in Florida.

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