A little B.S. is okay. After all, it takes some fertilizer to make beautiful flowers. And it is part of the entertainment factor. Seasoned execs have B.S. meters and will let you know if you start to pin their needles or redline. But this is a business, and a lot is riding on decisions, so make it the truth, the whole truth, and nothing but the truth, please.

When you were a child, you were taught that honesty is the best policy. I’d make these words by Cervantes stronger: honesty is the only policy. It does not pay to be less than totally up front. If you think that by hiding or fudging a flaw or fact about an invention’s origin, ownership, technology, and so forth, you are avoiding a problem that might break the deal, you are so wrong. If you are not honest up front, you are asking for trouble down the line.

Full and honest disclosure makes for smoother sailing. No one likes surprises, especially licensees after they have made an investment. On the other hand, no one expects your product to be perfect. Every rose has a thorn.

I cannot guarantee that your candor will be met by the same level of honesty from the other side, but in the end, your reputation will be all the stronger for it. Your reputation, by the way, will have more to do with your success than your concepts. You can take this fact to the bank.