One of the difficulties for inexperienced entrepreneurs is knowing when a deal is likely to happen and when it isn’t.

For many years in the publishing industry, a deal would happen on a handshake.

An offer would be made by a publisher to an author (often via their literary agent).

If the general terms were accepted by the author, the writing and publication of the book would then progress even though a signed contract might subsequently take several weeks or months to negotiate (especially if it were a boilerplate).

The book publishing industry is so small, that it would be easy to get a bad reputation if you did not keep your part of the bargain and you would not then be offered the books that you wanted.

Nowadays every startup entrepreneur must learn vigilance.

A deal is not a deal until a confirmed order on the terms agreed has arrived.

And even then some large retailers or global corporations have been known to cancel their orders.

But you do at least have your piece of paper and can try to negotiate something out of it which is in your favour.

If you have been promised investment of any kind, whether by a bank or other corporation or private investor a deal is not a deal until the papers are signed and the money is in your account.

There are many reasons why a deal does not take place.

One party might find the marketplace or their circumstances or financial situation suddenly changes;  another may get cold feet.

These things are reasonable.

They can happen to all of us anywhere at any time.

The important thing for the entrepreneur is to always be vigilant.

Chase the paperwork and chase the deal until it closes.

But until it has closed, know that you can never be 100% sure that it will.