(If you missed this little miniseries on why DSO’s might back out of a deal, check my previous 2 emails as well)

The most obvious reason why a DSO may back out of a deal is if, after due diligence, they conclude that you have been less than forthright or somehow acted in bad faith.

This can be if they discover a problem you didn’t disclose.

Or if the information presented to them was wrong.

In this case, the DSO will likely pull out of the deal, because part of what they are looking for are partners they can rely on to act in the mutual interest of everyone involved.

When they see evidence to the contrary, why wouldn’t they leave?

So it’s important to always be forthright and honest in all the information you provide during the diligence process.

It’s better to disclose any potential problems or issues rather than have them uncover something.

And if you experienced this, but you didn’t INTEND to hide anything, my advice would be to take it as a learning opportunity.

You will have lost one DSO, but you can keep trying to work with others, now knowing information you should present better next time.

This is one place where someone like me can come in handy, because I’ve worked with so many practices and DSOs, I can help guide you and make sure you’re presenting information in the best way possible.

Just click below if you’d like to have a chat with me.