Transparency in Deal-Making

Ok I’m sorry, but if you’re afraid to talk about price, you’ve already lost. Too many reps dance around pricing like it’s a state secret. They dodge the question. They stall. They try to “build value” first, or wait until they are told they are the vendor of choice. Buyers aren’t stupid. They know everything has a cost. And when you hide pricing, it does two things: 1. It destroys trust. If they have to pry it out of you, they assume it’s inflated or arbitrary (which is even worse). 2. It wastes time. If they can’t afford it, they’ll figure it out eventually...after you’ve sunk hours into a dead deal. Great salespeople don’t hide the number. They control the pricing conversation. This is the type of conversation countless reps have learned via our programs at Sales Assembly: - “Most of our customers invest between X and Y, depending on scope. Does that align with what you were expecting?” (Frames price as a range, not a fixed number.) - “Pricing depends on a few factors. Can I ask a couple questions to make sure I give you the right ballpark?” (Gives context before dropping a number.) - “If we land in that range, would budget be a blocker?” (Surfaces potential objections early.) Transparency isn’t just about being upfront. It’s about building trust and setting the right expectations from day one. Because if a deal dies over price, better to know in minute five, not month five.

Negotiation is not a poker game. Here’s why you should ditch the poker face. Ever been told to keep your cards close to your chest in a negotiation? Me too. However, for 30 years I have been teaching the opposite. ↳ Sharing information is the real game-changer. 𝗧𝗵𝗲 𝗠𝘆𝘁𝗵 𝗼𝗳 𝗦𝗲𝗰𝗿𝗲𝗰𝘆 The classic advice says: "Don't reveal too much." But that approach often backfires. ↳ It leads to missed opportunities and suboptimal deals. I experienced this firsthand during negotiations with an Executive Training Organization. We could've played hardball about our daily fees, but our true priority was gaining exposure to executives from multiple corporations. By sharing this, we unlocked a more valuable opportunity: ↳ Access to the participants' list and the freedom to contact them directly. 𝗧𝗵𝗲 𝗥𝗲𝗮𝗹 𝗣𝗼𝘄𝗲𝗿 𝗼𝗳 𝗦𝗵𝗮𝗿𝗶𝗻𝗴 Experts recommend you share your interests, priorities, and preferences. Doing so: 𝟭. 𝗕𝘂𝗶𝗹𝗱𝘀 𝘁𝗿𝘂𝘀𝘁.  ↳ Trust encourages your counterpart to reciprocate, creating a more transparent environment. 𝟮. 𝗘𝗻𝗵𝗮𝗻𝗰𝗲𝘀 𝗽𝗿𝗼𝗯𝗹𝗲𝗺-𝘀𝗼𝗹𝘃𝗶𝗻𝗴.  ↳ Both parties need comprehensive information to propose viable solutions. 𝟯. 𝗨𝗻𝗹𝗼𝗰𝗸𝘀 𝗵𝗶𝗱𝗱𝗲𝗻 𝘃𝗮𝗹𝘂𝗲.  ↳ The potential gains from shared information far outweigh the risks. The only cards you should keep close to your chest: → Your Reservation Point (your limits). → Your urgency. → The negative consequences of your fallback alternative. 𝗕𝗮𝗹𝗮𝗻𝗰𝗶𝗻𝗴 𝗥𝗶𝘀𝗸𝘀 𝗮𝗻𝗱 𝗥𝗲𝘄𝗮𝗿𝗱𝘀 Sure, sharing info can seem risky. The fear is that it could be used against you. But in my experience, and supported by research, the value created usually compensates for potential losses. Negotiation isn't a zero-sum game. Transparency can turn adversaries into collaborators. Stop fearing transparency. Start embracing it. You'll gain more than you think. What is your take on this critical matter? Pro-sharing or against-sharing info? Let me know below in the comments. #negotiationbydesign #transparency #trust #negotiation

I hid a problem from a buyer early in my career. It was the best mistake I ever made. 15 years ago, I was helping sell a gas station. Walking the property with a prospect, I noticed oil seeping into the ground. Environmental issues. Obvious. I didn't say anything. I was very young. I wanted the deal. The buyer found out. The deal died. They never spoke to me again. So here's what I did next: The very next prospect for the same property? I told them EVERYTHING. Every issue. Every risk. Good and bad. Full transparency. The deal closed. Smoothly. I've seen this pattern repeat hundreds of times since: A pizzeria franchise was about to close when the buyer discovered every franchisee would need to spend $100K+ on refurbishments within 2 years. Nobody disclosed it. Deal exploded. Next buyer? Full disclosure. Deal closed. The pattern is always the same: Hiding information --> destroyed trust --> dead deal Full disclosure --> earned trust --> closed deal In 15 years and hundreds of transactions, I have never once seen honesty kill a deal. But I've seen dishonesty kill dozens. If you're selling a business: - Liens on the property? Disclose NOW. - Problem with the lease? Disclose NOW. - Structural issues? Disclose NOW. Not at closing. Not during due diligence. NOW. Your reputation is worth more than any single deal. #BusinessIntegrity #DealMaking #Transparency #BusinessBroker #ExitPlanning

The value creation advice that’s quietly killing deals: “Clean up everything before you show anyone your business.” That single sentence has cost owners millions in enterprise value. Here’s the counterintuitive truth from working with family offices and private equity: Radical transparency about problems builds more trust than trying to look flawless. Sophisticated buyers have seen every issue you’re scared to show them: ~Customer concentration ~Messy ops and manual processes ~Sloppy working capital management ~Inconsistent reporting or weak forecasting This is their day job. They expect imperfections. What actually spooks them isn’t the problem itself. It’s your attempt to hide it. When an owner tries to: ~Gloss over operational challenges ~Hand-wave financial inconsistencies ~“Pretty up” numbers before a proper QofE …you don’t look more valuable. You look inexperienced with M&A. What happens next: ~Red flags go up ~Diligence gets more aggressive ~Trust erodes ~Terms get worse (or the deal dies) The owners who get the best outcomes do something very different. They lead with structured honesty: ~“Here’s the issue we identified. ~Here’s why it happened. ~Here’s what we’ve already done. ~Here’s the plan and timeline to fully fix it. ~Here are the early results.” T hat approach does three powerful things: → Shows you understand your own business at a deep, operator level → Demonstrates real problem-solving capability (not just storytelling) → Builds confidence in your post-close leadership and execution Buyers aren’t looking for perfect companies. They’re looking for credible leadership teams who can navigate complexity without flinching. Your ability to name, frame, and solve challenges is a competitive advantage in a process — not a liability. If you’re prepping for an exit in the next few years, focus less on hiding the mess… …and more on showing you’re the kind of operator who can clean it up. 👇 What’s one challenge in your business you’ve been tempted to hide? Reply with it, and I’ll tell you how a buyer is likely to interpret it in diligence.

Search fund acquisitions fall through 100% of the time if... ...there's misalignment between the searcher and seller. But how do you gracefully get to "no" without burning bridges? Your best bet is to have candid conversations with potential sellers to qualify deals against your criteria starting on day one. This helps avoid wasting time if expectations differ and builds trust by being transparent about your goals. While saying "no" can be uncomfortable, it's a critical skill for searchers to develop. Here are some specifics on what to do: 👇 𝟭. 𝗘𝘀𝘁𝗮𝗯𝗹𝗶𝘀𝗵 𝗰𝗹𝗲𝗮𝗿 𝗮𝗰𝗾𝘂𝗶𝘀𝗶𝘁𝗶𝗼𝗻 𝗰𝗿𝗶𝘁𝗲𝗿𝗶𝗮 𝗲𝗮𝗿𝗹𝘆 𝗮𝗻𝗱 𝗰𝗼𝗺𝗺𝘂𝗻𝗶𝗰𝗮𝘁𝗲 𝘁𝗵𝗶𝘀 𝘁𝗿𝗮𝗻𝘀𝗽𝗮𝗿𝗲𝗻𝘁𝗹𝘆 so sellers understand your goals. Ask direct questions to qualify deals against these criteria from the outset. 𝟮. 𝗗𝗶𝘀𝗰𝘂𝘀𝘀 𝗮𝗻𝘆 𝗱𝗲𝗮𝗹-𝗯𝗿𝗲𝗮𝗸𝗲𝗿𝘀 𝘂𝗽𝗳𝗿𝗼𝗻𝘁 before investing lots of time and resources. This includes core aspects like industry, size, valuation gap, or post-exit vision. 𝟯. 𝗣𝗿𝗲𝘀𝗲𝗻𝘁 𝗮 𝗹𝗲𝘁𝘁𝗲𝗿 𝗼𝗳 𝗶𝗻𝘁𝗲𝗻𝘁 𝗼𝗿 𝘁𝗲𝗿𝗺 𝘀𝗵𝗲𝗲𝘁 𝗾𝘂𝗶𝗰𝗸𝗹𝘆 to force substantive business issues into the open for discussion. Do not let conversations drag without qualification. 𝟰. When conducting preliminary due diligence, 𝗽𝗿𝗼𝗺𝗽𝘁𝗹𝘆 𝗮𝗱𝗱𝗿𝗲𝘀𝘀 𝗮𝗻𝘆 𝗱𝗶𝘀𝗰𝗿𝗲𝗽𝗮𝗻𝗰𝗶𝗲𝘀, 𝗰𝗼𝗻𝗰𝗲𝗿𝗻𝘀 𝗼𝗿 𝗺𝗶𝘀𝗮𝗹𝗶𝗴𝗻𝗺𝗲𝗻𝘁𝘀 𝗱𝗶𝘀𝗰𝗼𝘃𝗲𝗿𝗲𝗱 that could impact deal feasibility. 𝟱. 𝗜𝗳 𝘁𝗵𝗲 𝘀𝗲𝗹𝗹𝗲𝗿 𝘀𝗵𝗼𝘄𝘀 𝗵𝗲𝘀𝗶𝘁𝗮𝗻𝗰𝗲 𝗽𝗿𝗼𝘃𝗶𝗱𝗶𝗻𝗴 𝗶𝗻𝗳𝗼𝗿𝗺𝗮𝘁𝗶𝗼𝗻, resistance to due diligence or lacks urgency, be direct in re-evaluating if discussions should proceed. 𝟲. Should misalignments arise regarding deal structure, future involvement, vision or motivations, 𝗵𝗮𝘃𝗲 𝗮𝗻 𝗼𝗽𝗲𝗻 𝗰𝗼𝗻𝘃𝗲𝗿𝘀𝗮𝘁𝗶𝗼𝗻 𝗼𝗻 𝘄𝗵𝗲𝘁𝗵𝗲𝗿 𝗮𝗻 𝗮𝗴𝗿𝗲𝗲𝗺𝗲𝗻𝘁 𝗶𝘀 𝘃𝗶𝗮𝗯𝗹𝗲. 𝟳. If financial expectations or operational changes differ significantly from your criteria, address these head on and 𝗱𝗼𝗻'𝘁 𝗮𝘃𝗼𝗶𝗱 𝗱𝗶𝗳𝗳𝗶𝗰𝘂𝗹𝘁 𝗰𝗼𝗻𝘃𝗲𝗿𝘀𝗮𝘁𝗶𝗼𝗻𝘀. 𝟴. When core aspects become non-negotiable or distrust emerges, 𝗯𝗲 𝗱𝗲𝗰𝗶𝘀𝗶𝘃𝗲 in discussing implications for the transaction. 𝟵. 𝗠𝗮𝗶𝗻𝘁𝗮𝗶𝗻 𝗼𝘁𝗵𝗲𝗿 𝗼𝗽𝘁𝗶𝗼𝗻𝘀 through robust pipeline management should you need to exit discussions quickly. 𝟭𝟬. 𝗙𝗿𝗮𝗺𝗲 𝘁𝗵𝗲 𝗰𝗼𝗻𝘃𝗲𝗿𝘀𝗮𝘁𝗶𝗼𝗻 𝗶𝗻 𝗮𝗻 𝗼𝗯𝗷𝗲𝗰𝘁𝗶𝘃𝗲, 𝘁𝗿𝗮𝗻𝘀𝗽𝗮𝗿𝗲𝗻𝘁 𝘄𝗮𝘆 to build trust in your intentions and reasons if getting to "no" becomes necessary. The key is balancing quickly qualifying out poor fits while staying professional and preserving goodwill for the future. And sometimes, you get lucky: a difficult conversation handled appropriately can sometimes build credibility and relationships. You never know!

Are you putting together a business plan to attract investors or partners?  Then you need to hear this: When showcasing your prior deals, transparency is KEY. Many people are tempted to cherry-pick their best deals to make themselves look good, but this is misleading and violates the anti-fraud provisions. Here’s what you need to know: • Full Disclosure— If you decide to include your past deals in your business plan, you MUST include all of them, both the good and the bad. You cannot cherry-pick only the successful ones while omitting the ones that didn't perform as well. • Anti-Fraud Provisions — the SEC does not allow cherry-picking prior deals when marketing or soliciting investments. If you choose to showcase prior deals, you must provide a fair and balanced presentation, which typically means disclosing all relevant past deals, not just the most successful ones. • Credibility and Trust— Cherry-picking deals erode trust and credibility with potential investors and partners. They are likely to wonder what else you are not being honest about. Showing all your deals, good and bad, proves that you are transparent, honest, and realistic about your performance. It’s tempting to only highlight your wins, but true investors and partners respect honesty and transparency. And the SEC demands it. Ultimately, your credibility is your most important asset. So, if you're going to include past deals in your business plan, be sure to include them all. Either include all of them or don't include any at all. The choice is up to you, but you should never cherry-pick them.

Public Procurement Negotiation in a Transparent World We no longer negotiate behind closed doors! In today’s public procurement environment, negotiation happens under bright lights. Citizens are watching. Auditors are reviewing. Media is asking questions. Data is permanent! Trust is fragile! Transparency is not a constraint on negotiation! Transparency is the environment in which modern procurement leadership operates! In a transparent world, negotiation is not about clever tactics or hidden leverage. It is about credibility, consistency, & confidence in process! ⭐ Transparency changes the starting point Negotiation now begins with clear requirements, documented rationale, & defensible decisions. Every position must be explainable not just to a supplier, but to the public we serve! ⭐ Transparency elevates preparation Leaders come to the table grounded in data, market research, & total cost of ownership. Opinions are replaced with evidence. Assumptions are tested before they become risks. ⭐ Transparency rewards ethical leadership Shortcuts do not survive sunlight! Integrity does! Ethical negotiation builds reputations that last far longer than any single deal! ⭐ Transparency shifts power toward trust When suppliers know the rules are fair & consistently applied, conversations change! Collaboration replaces suspicion! Performance improves! Innovation follows! ⭐ Transparency strengthens accountability Every concession, tradeoff, & decision has a reason that can be articulated clearly & calmly. Good negotiations tell a story that stands up over time! ⭐ Transparency aligns negotiation with public value Price still matters, but so do quality, resilience, sustainability, equality, & long term outcomes! Negotiation becomes the bridge between fiscal responsibility & mission impact! In a transparent world, strong negotiators are not secretive! They are steady! They are principled! They are prepared! They slow things down when speed threatens trust! They document not because they fear scrutiny, but because they welcome it! They understand that public trust is not assumed! It is earned again & again! Transparency does not weaken negotiation! It strengthens it! It forces clarity! It demands discipline! It rewards professionalism! Public procurement leaders who embrace transparency do not just negotiate better contracts! They build confidence & trust in government itself! Grateful for the professionals around the world who negotiate with courage, humility, & integrity every day! Optimistic about what is possible when transparency & negotiation work together, not against each other! Public trust is our business! Carpe Diem - Every Diem! Let’s Go! #PublicProcurement #ProcurementExcellence #ProcurementForward #ProcurementLeadership #ProcurementStrong #ProcurementReady #ProcurementWithIntelligence #Transparency #EthicalLeadership #PublicTrust #Negotiation #GlobalBestPractices NIGP DC CAUCUS Maryland Public Purchasing Association (MPPA)

Years ago, we were working on a major opportunity where everything seemed aligned — the right solution, strong vendor backing, and a solid relationship with the customer. Yet, despite all the right ingredients, we still lost the deal. Our Account Manager reacted emotionally and confronted the customer harshly. The customer, in return, blacklisted Emircom from the account. I was upset about losing the opportunity, but even more disappointed by how the situation was handled. I had my own relationship with the same customer, so I reached out to apologize — not for losing, but the call wasn’t welcomed, so I stepped back. A couple of months later, I reached out again purely on a relationship level. To my surprise, he asked why I hadn’t been visiting. When I offered to pass by, he agreed—under one condition: “No business talk.” I accepted. The next day, I visited. We spent the time talking about everything except work, as I was leaving, he paused and asked: “Can I tell me your opinion of what had happened?” I asked if he wanted the honest truth. He said yes. So I told him: “When the incident happened, I called to apologize because I didn’t agree with how things were handled. But instead of acknowledging that, you blacklisted us. In my view, it was unfair to punish an entire national company that serves the market for the mistake of one individual — especially when we took corrective action immediately.” He went silent. His face turned red. I left thinking I had pushed too far. But the next morning, he called me and said: “You can participate in our tenders again.” In summary, people may not always like what you say, but they will remember your integrity, your transparency, and your willingness to address issues rather than hide from them. #Integrity #Transparency #Honesty

Dear Revenue Friends (Sales, CS, AM, etc) - here’s a tip from a procurement guy. (Which will hopefully benefit both sides) I try to be fairly transparent during the procurement process when I’m negotiating with you (I freely recognize that’s not everyone’s style). What surprises me is when you seem to suppress the transparency (possibly unintentionally). Here’s an example: Hypothetically, let’s see you reached out, I took a demo and things were progressing okay. Then one day, rather than going dark on you, I’m fairly transparent and I tell you that I’m going to kick off a sourcing exercise. If your immediate reaction is to try to convince me I shouldn’t do that, it could cause mistrust and I’ll hesitate to share more information.  On the other hand, if you validate this process (to whatever extent you can) but then ask some honest and sincere questions as to why I’m taking this action, you’ll likely get additional transparency. And this could give you insight into what problem I ran into that is leading me to take action. Which may or may not change my plan to look at other options. So instead of: “I think a sourcing exercise is a big mistake because our competitors are ankle-biters and you’d be stupid to even consider talking to them… seriously anyone who uses them comes running back to us within weeks bemoaning their life choices….” (I’ve dramatized this response but it’s not too far from what I’ve heard in my time). Try this: “Wow, thanks for sharing. It means a lot that you are willing to trust me with that information. I can completely understand the desire to look at other options. In this market, it’s a prudent move to ensure you align with the best provider. I’ve worked with others doing similar evaluations and I’d welcome the opportunity to share some decision criteria or questions you might consider asking if that would be helpful. Would it also be okay if I asked a few questions so I can better understand what you are looking for and why you have decided to go to market? I can see that helping both of us.” Tl;dr. I completely acknowledge that not all procurement peeps aim to be transparent (post topic for another day), but when they are my recommendation is to find ways to reward and encourage more transparency rather than suppressing it. I’m a big believer that both sides can benefit from transparency. People tend to buy from those they trust. Furthermore, I would go out on a limb to say that procurement should try to be more transparent (to a degree) but I know might be a topic of debate saved for another post.  

Legacy sellers fear price transparency—modern sellers seek it out. For decades, opaque pricing was a shield. The less buyers knew, the more leverage sellers had. Here’s why legacy teams resist transparency: -Race to the bottom. If pricing is public, competitors will undercut them, forcing a discount war. -Losing deal control. No more artificial urgency, end-of-month “specials,” or negotiation games. -Buyers skipping the process. If buyers see the price upfront, they might self-select out before a rep can “sell them” on the value. But buyers aren’t waiting for permission. -80%+ of buyers research pricing before ever talking to sales. -50%+ walk away if they can’t find it. -Deals with upfront pricing close 2x faster than those that require negotiation. Price transparency doesn’t kill deals. It kills friction. It builds trust, speeds up sales, and eliminates the hesitation that stalls buying decisions. Modern sellers know: price transparency isn’t a risk—it’s a growth strategy.