Why Lying on Applications DESTROYS Deals: The Risk Management Truth #shorts

We always have pillars revolving around risk management because pillars— without pillars, you risk the roof falling on your head, right? And so we might have a stable foundation, but if we don't have 4 solid corners, what we put over the top of those could collapse on us, right? And so these are the rules that you must follow in order to make sure that you have full understanding of what you're going into. Like we have right now, we're faced with a massive issue, but because of documentation, ensuring that our internal systems are in place, we stress tested our underwriting to the hilt. We still did— we can't force people not to lie on an application because that's where all of our problems start. Like when we do what's called a root cause analysis, RCA shows us that the root cause of our not closing the data center for $7 million, 100% revolves around somebody choosing to lie on an application.