'My word is my bond'

Retaining business morals and standards to ensure ethical and mutually trusting business relationships

‘My word is my bond’ has for centuries been the motto of the London Stock Exchange, Since 1801 the motto Dictum Meum Pactum , My Word is My Bond has been used, where bargains and deals are made with no exchange of documents and no written pledges being given.

This saying goes back at least to 1500, when a Scottish source has ""O kingis word shuld be o kingis bonde" (A Kings word should be a Kings bond)

There has been various interpretations and adaptations since then. Ultimately throughout time, two parties verbally agree terms, they shake hands and the business transaction or agreement is seen as cemented and set in stone.

We have seen the numerous marketing photos displayed on company websites and literature of handshakes, this action representing business, agreement, partnership, professionalism, integrity, trust, respect.

So why has something so instilled in the business psyche, now seem to be a worthless, empty gesture? Today unscrupulous supposedly business people can dismiss such gestures as worthless, they can go through the actions, promise everything and commit to nothing.

So why has honesty, decorum and manners been lost? Business people wishing to be respected and trusted should still play by the rules that have been in place for centuries.

"I have always been an honest trader. I come from a school of traders where there was honour in the deal. No contracts, just a handshake and that's it, done. That's the way I prefer to do business but it's not always possible these days, sadly."

Alan Sugar, Entrepreneur

It is a sad that I have to say I have experienced more and more situations where what is said, discussed, greed and hands shaken is dismissed as irrelevant and only what is agreed on paper really stands. We need to bring back proper corporate morals, higher business standards and significantly increased personal responsibility.

Every business and business owner, entrepreneur, investor, board director, senior manager, employee should instill the below 10 codes of ethics within their business, these fundamental aspects will be relevant in business and in their personal life.

1. HONESTY

2. INTEGRITY

3. TRUSTWORTHINESS

4. LOYALTY

5. FAIRNESS

6. RESPECT FOR OTHERS

7. COMMITMENT TO EXCELLENCE

8. LEADERSHIP

9. REPUTATION

10. ACCOUNTABILITY

They should be monitored by all within the business and self-govern themselves, not afraid to query and highlight wrong practices.

We need to look to focus on the fundamentals of business and commerce, the honest, the loyal, the sincere. Have they been scrupulous in their business transactions?, have they instilled trust and respect?, have they played by the rules set down for hundreds of years and followed ‘My word is my bond’? Individuals who think they can ride roughshod over employees, associates, partners, customers and prospects with false sincerity do not deserve to hold any significant office in business.

"The motto of the old order in the City of London was, 'My word is my bond,' but the financial crisis revealed a culture quite alien to that heritage. The stewards of people's money were revealed to have been speculators with it."

Gordon Brown, former British Prime Minister

These simple basic morale standards and business etiquette have been ingrained in trade and commerce for hundreds of years. Let them not fade, let us maintain them as we move into a different era of business and digitalisation where communication and interaction with our peers will change and adapt. Let us ensure we retain the handshake, a commitment, a promise…

My word is my bond, Dictum Meum Pactum

Lateral Alliances offer professional and dependable consulting for all aspects of your company. From initiating and supporting marketing strategies, including PR, web design, graphic design, social media, business development, sale, right through to business and exit strategies, we have the skills and experience to support your business. We are a 'hands on' organisation, who prefer to get deeply involved in your business and challenges, not hide behind aimless discussions.

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