Due Diligence Upload By Representative
Upon execution of an engagement agreement, the registered representative is responsible for uploading the applicable diligence files via the Due Diligence Checklist Form. The submitted forms can be found in the the following folder:
The AML Diligence Review is designed to assess the risk of a Seller or Issuer's non-compliance with anti-money laundering regulations and "Bad Actor" disqualification from Regulation D offerings. It includes a background check of the Seller and/or Issuer entity, its key managers, officers, and directors, as well as >20% shareholders. The AML Diligence form can be found here:
After completion of the Principal Diligence, all documentation is reviewed by the RMS President for ultimate approval or rejection.
Upon completion of the Principal Diligence Review Form, the requesting representative will be automatically notified of the offering's approval, rejection, or request for revision.
FINRA Form 5123
As soon as possible after the first sale of securities by RMS (in NO EVENT later than 30 days), a firm principal must complete the FINRA Form 5123 for Private Placements. The information needed to complete the Form 5123 can be assembled from information found in the following locations: (1) the respective company's Due Diligence Checklist Folder, (2) Legal Diligence Folder, and (3) the initial sale's Order Ticket.
The FINRA Form 5123 can be completed via the following instructions:
- Login to the WebCRD Firm Gateway
- Forms and Filings
- Private Placements
- Open Filing
- Begin New Form
- Complete the Rule 5123 Form