How to Spot Deceit in Due Diligence: Insights from a Former CIA Officer

When it comes to due diligence, most investors typically focus on analyzing financial statements and crunching numbers to evaluate a company’s potential. However, it’s also important to interrogate senior executives and employees to ensure they are truthful about the business model. In this episode, we interview Phil ‘Dick’ Houston, a former CIA officer known for his ability to detect lies. Phil has worked closely with entrepreneur Brad Jacobs on due diligence for both senior hires and investments. He shares his strategies for identifying deceptive behavior and how it can be applied in the corporate world.

One key insight from the podcast is learning what signs to look for when detecting deception. Phil dispels myths about eye contact and explains the psychological buckets used to understand deception. He also discusses the ideal environment for lie detection and how to use verbal and physical cues to encourage honesty in others. Additionally, Phil provides a real-time example of lie detection and explains how to ask the questions that most people fail to ask.

Being aware of the signs of deception is crucial in due diligence processes for investors and companies alike. By knowing how to question individuals effectively, business professionals can make more informed decisions and mitigate risks. Whether you are an investor or a company executive, Phil’s expertise in spotting lies can be valuable in any situation where trust is essential.

In conclusion, due diligence is not just about analyzing financial statements; it’s also about interrogating individuals to ensure they are truthful about their intentions. As such, it’s important to know how to detect deception and question people effectively. With the help of former CIA officer Phil ‘Dick’ Houston, you can gain insights into identifying signs of deception, creating an ideal environment for lie detection, using verbal and physical cues, asking effective questions, and more.

By implementing these techniques in your own due diligence processes, you can make more informed decisions that mitigate risks while maximizing opportunities. So why not give these strategies a try today?