What is a Due Diligence Council?

Investing can be daunting, especially when you’re doing it alone. The stakes are high, and one wrong move can result in significant losses. As a community, we discuss the merits of each investment in search of the best deals for our individual goals. We share the results of our analysis so each member can decide if they wish to invest.

This is where the Due Diligence Council comes in. Just like a family office investment committee, our council leverages the collective expertise of seasoned investors to vet every deal thoroughly. These expensive professionals are included in the multi-million dollar cost of running a family office for a billionaire and would be cost-prohibitive for millionaires.

In Financial Journey, we have an intentionally broad community of investors with deep knowledge of various asset classes. The Due Diligence Council is a community-based investment committee. “There is safety in a multitude of counselors.”

For example, our doctors in the group don’t have the technical expertise to evaluate an oil and gas investment. However, we have members who have spent decades in oil and gas that can. Our doctors were able to help evaluate a medical practice buying fund. 


As a community of accredited investors, our diversity of experience is our strength. We collaboratively vet investments to help sort the “winners” from the “losers” and avoid costly losses.

Our Investment Thesis and Why for the Due Diligence Council

As a passive investor, your main decision is often limited to ‘invest or not invest.’ After that, you’re mostly along for the ride.

This is why you need to front-load all of your work through the due diligence of an investment.

Our goal is to avoid the losers. If you have 9 deals that each provide a 10% return plus 1 deal with a 100% loss, you’re about to break even. That one loss absorbed the wins from the 9 profitable investments. This is why the number one rule of investing is never to lose money.

After mitigating our downside, we look at the upside. We focus on what will reliably make the most money. Internal Rate of Return (IRR) is our favorite metric for comparing all investment types. IRR cuts out the hypothetical fluff that people try to use to artificially increase projections of the Return on Investment (ROI). 

Lastly, we focus on any secondary benefits such as tax deductions, tax credits, or other benefits you would receive by investing in something.

Many investors invest simply because it “sounds good,” and they’re unable to properly assess the asset, team, documents, and risks. Financial Journey is the supportive community that changes that.

The Due Diligence Council is sourced from our members who volunteer. It helps eliminate conflicts of interest. Members can invest more confidently, knowing investments are shared because the council thinks they’re good investments, NOT because Financial Journey receives a kickback, favor, or other benefit secretly given to the operators of many investment groups.

How does the Due Diligence Council work?

We periodically meet and select investments that sound promising and fill our member’s needs.

We split our Due Diligence Assessment evaluation into three parts:

1. Asset:
     ●  Fact-Checking     
     ●  Underwriting Review
     ●  Economic Alignment
     ●  Risk Assessment
     ●  Profitability
     ●  Other Benefits

 2. Team: 
     ●  Track Record
     ●  Experience
     ●  Values
     ●  Priorities
     ●  Investor/Operator Alignment 

3. Documents: 
     ●  PPM and Agreement
     ●  Review
     ●  Fees
     ●  Equitable Terms
     ●  Comparability Across the Industry

We use due diligence checklists to guide our process and ensure we’re asking the right questions.

Based on our findings, the due diligence council recommends what is shared on the investment menu for the rest of our community and which capital raisers we invite to present.

We share the summarized factual results of our findings with the rest of the community so they can make their own informed decision.

Continuous Improvement

By comparing the promises and projections against the results, we can identify the best operators. We love to have long-term relationships with operators that consistently perform. We prefer to connect our newest members with investments that the experienced members have benefited from reliable results for many years.

We continually review our processes and results to help our community of self-directed millionaires grow and optimize their investments to align with their vision.

Investor and Syndicator Alignment

We collaborate with operators who are willing to engage with us. If a capital raiser is unable or unwilling to answer our questions or share their underwriting, it’s likely not a deal for us.

Typically, the fee structure and terms say more about the operator’s motivations than anything else. 

For example, capital raisers’ legal documents often allow them to retain their equity in their projects even if they’re convicted of defrauding their investors. Would you knowingly invest with someone like that?

Syndicators should absolutely be compensated well when they perform as promised. Sometimes, syndicators allow investors to bear the loss of the investment but limit their participation in the upside profitability. However, the compensation should match the participation in the risks and rewards for both syndicators and investors.

Value of the Due Diligence Council

How much closer could you be to your goals if you could leverage the expertise of a billionaire’s investment council?

What would it be worth to have another experienced investor help you evaluate the risks and rewards?

By having a process to help you avoid “losers,” you have a better chance of avoiding life-altering setbacks. 

By identifying the “winners” with the highest probability for success in collaboration with the community of successful peers, you’re more likely to have reliable earnings and possibly some big winners.


If you’re not already a Financial Journey member, I encourage you to explore the benefits and determine if our community aligns with your needs. Feel free to book a call with our membership team to see if this is a fit, we love our genuine and generous community and protect it.