Get it in writing:

A person's word should be binding. I love the story about Warren Buffett buying a company on a handshake, saving both companies many thousands of dollars in due diligence. The skeptic in me wonders who would be stupid enough to try to cheat Warren Buffett.

In dealings involving money or the potential for money, getting it in writing protects us from liars and tbeives, and also from misunderstandings.

Most is us mean what we say. Unless we are liars or phantasists, who are still in the minority. The difficulty many of us have is in saying what we mean, exactly what we mean, in clear and unambiguous terms, so that the other person understands. Phew. This is an area in which Warren Buffett happens to excel.

If I say, we'll be partners, 50:50, that might sound desirable, until you realize that this requires you to buy me out of half my business' very expensive mortgage, and leaving your earnInge in the business coffers for at least five years. 50:50 is true, it's just not the whole truth, and probably not what you were expecting. For my part, I may be surprised you did not understand the Profit & Loss Sheet I gave you, and might be disappointed that you' e lost sight of future returns wanting a cash cow today rather than an investment in the future. In this scenario we are both likely to end up feeling betrayed and deceived, without there being one iota of ill will or planned deception.

As we're all human and therefore fallible, say what you mean, mean what you say, and get fit in writing.

This is post 3 of 365 posts on 365 days.

Sent from my iPhone