4 Reasons Honesty Makes Sense

During a recent interview, the great American writer Maya Angelou said, “honesty does not mean saying everything you think – it means that every that comes out of your mouth is the truth.”  And so it is in the world of healthcare transactions.

There is a natural, healthy skepticism that occurs when sellers and buyers interact.  The quicker that both can come to a sense of mutual business honesty the more quickly a successful transaction can progress.  Reasons for the value of honesty are:

  1. Honesty helps bring the focus to objective indicators of business value.  If the other party believes you are less than honest they will look for ways to prove it.
  2. When you are perceived as honest others believe your business has value, in essence, you are focused on your business not extraneous matters.
  3. Honesty makes it easier for others to make a commitment and deal with the inevitable challenges that will arise, especially in due diligence and the development of the purchase agreement.
  4. Honesty provides a foundation for negotiating any post-closing issues that may arise.

Being a good negotiator includes knowing your bottom line, presenting you information in a clear manner and relying on objective evidence of business activity.  Being honest helps connect all the dots and leads to a satisfactory transaction.