We all know that due diligence only goes so far, yet we still need to do the best we can to avoid hooking up with the wrong people.

1.   Take note of their mentors.

I know someone whose mentor had no respect for follow-up, didn’t return calls, was undisciplined, and slack. She is following his lead, of course, and will likely wind up with a scary lawsuit.

2.    Take note of their friends and associates.

Birds of the feather – similar values, beliefs, networks, standards, and aspirations. Where do they go? With whom do they spend their time?

3.   Their customers and vendors.

What is their reputation with people who sell to them or buy from them? How about their competition? How LONG have they known this person? Be especially careful of people who are new in the area and have a gray past. In many cases, they’ve run away from their bad choices in the past.

4.    The Internet.

Google, Bing, Facebook, Twitter, their websites and blogs – take the time to check them out. They will naturally have enemies and detractors if they’re well known, but judge the assault by the quality of their enemies.

5.   Their philosophy.

What books do they read, what groups and clubs do they belong to, what religious and political affiliations do they have, where do they live, how do they spend their time? One’s philosophy drives ones motives and choices – it is a good predictor.

6.   Test them in small ways first.

Test them in small ways before opening up the big JV opportunities. Do they return calls and e-mails promptly, do they pay on time, are they cheap, are they well groomed and punctual, respectful, and professional? Are they loyal and honest? “Faithful in little, faithful in much.”

7.    How do they treat others?

Their spouses, kids, friends, the waiter in a restaurant, animals, receptionists, their employees, and colleagues. Listen and watch – observe – because that’s how they will end up treating YOU.

8.   Take your time, there’s no rush.

And don’t take the word of one person referring them – I now a successful businessman who has very little discernment in judging others. Over time, you will find out a lot more about them, good and bad. Over time, you will see patterns and tendencies – people hiding, making excuses, justifying, lowering standards, cutting corners. You will also be able to identify loser traits, like smoking, greed., ego, drinking too much, gambling, womanizing, and other addictions.

9.    Watch Out for These Personalities

Be careful of the too friendly, smiling, backslapping, always agreeing, politically correct funster. Those who are everyone’s friend and promise the world are usually sociopaths, or at the very least passive aggressive back-stabbers.

Watch out for posers and parasites, too – there are many of them out there. If someone agrees with everything you say and has no opinion, he’s weak or dangerous. Either way, watch out.

10.   Look at the track record.

That is a clear predictor of future behavior. Along with that, listen for EXCUSES and BLAME – the sure sign of a victim mentality. In that case, be aware that your prospect lives in the Victim/Persecutor/Rescuer world that denies personal responsibility.

Better to take the time and make the effort on the front end than to suffer later. The cost of discipline weighs ounces, while the cost of regret weighs tons.  I would rather pay a good private detective up front than lose a lot down the road.