Why Full Disclosure Is Crucial When Selling Your Business
When it comes to selling a business, transparency is one of the most valuable tools a seller can have. While it might seem tempting to downplay a problem or leave out an uncomfortable detail, those decisions can have serious consequences once due diligence begins.
The due diligence process is thorough by design. Buyers and their advisors will comb through financial statements, contracts, customer records, employee matters, and more. Any red flags that surface late in the process can create doubt, stall negotiations, or even cause a deal to collapse. Broken trust is hard to regain.