Collins dictionary definition: a dishonest or unscrupulous person

The bane of entrepreneurial advisory businesses is

(1) characters that we implicitly trust, and who exude shared values but prove to be untrustworthy and/or unethical customers.

(2) a change of circumstances in the business (delays, terminations, restructurings) where the relationship changes from a peer-level trusting one to an individual, who willfully ignores the trust and respect earned.

It is most often manifest in bad or non-payers.

My observation is that we make informed judgments and if less than 2% of our customer revenues fall into this category we are doing well.

Yet there are “red flags” in the pre-deal negotiation that trip up even the most seasoned of professionals. Clients who won’t accept payment upfront, who seek to defer payments or even voluntarily offer to make deferred payments with interest. Their resistance pre-deal (particularly common in start up and other cash-strapped businesses) is one of four forms: “no trust” (a belief you must prove to them you will deliver success before being paid), “no hurry” (a belief you’ll voluntarily cut them some slack), “no need” (a belief you’ll happily play banker for their entrepreneurial risk taking) or “no money” (a belief you’ll voluntarily start work without accepting any commitment from them or contingent on other events arising e.g. fundraising in startup).

Where do those beliefs start from? My experience is 90% of the time they start from the language you use, yes, you use, which controls the pre-deal discussion and the relationship that ensues. Notwithstanding the 2% who are simply unethical but you don’t spot it.

You have a choice. Accept or turn down the business. Please don’t come whining about lousy payers. Lousy payers are invariably a function of how desperate you are for the business, and the weak verbal and written language you use pre-deal or simply not raised manifest in your relationship, not the commercial and legal terms.