🌟 Word of the Day — 15 Rabiʿ Al-Awwal 1447 AH, September 8, 2025 ‘NDA’ 🌟

Coach Ward

Kuala Lumpur, Malaysia

Estimated read time: 4–5 min read

👋 Introduction

Welcome back to the Business English Word of the Day series! Today’s word is one you’ve likely heard in professional, legal, or entrepreneurial circles: NDA. Whether you’re launching a startup, collaborating with partners, or just protecting your ideas, NDAs are a shield for confidentiality and trust.

📖 What Does “NDA” Mean?

An NDA stands for Non-Disclosure Agreement. It is a legally binding contract in which one or more parties agree not to share confidential information with others. The information can include trade secrets, business strategies, client data, or intellectual property.

In everyday terms: an NDA says, “You can know my secrets, but you can’t tell anyone else.”

🧬 Word Origin: Where Does “NDA” Come From?

The term derives from the Latin dis-claudere, meaning “to shut away.” In English law, the concept of confidentiality agreements developed in the 18th and 19th centuries alongside industrial growth. By the 20th century, the formalized Non-Disclosure Agreement (NDA) became a standard tool in protecting innovation, contracts, and negotiations.

🧠 Why NDA Matters in Business

NDAs matter because they:

• Protect sensitive business information.

• Provide a legal remedy if information is disclosed.

• Establish trust in negotiations and collaborations.

• Allow innovation to thrive without fear of theft.

🙋 Who Uses NDAs (and Why)?

• Entrepreneurs & Startups: To protect ideas when pitching to investors.

• Companies: To secure trade secrets and internal processes.

• Consultants & Freelancers: To protect client information.

• Partnerships: To ensure confidentiality during joint projects.

❤️ The Coach Ward Reflection

As someone who works across consulting, teaching, and building businesses, NDAs are part of my daily professional landscape. They remind me of a key lesson: trust is built, but it must also be safeguarded. A handshake may seal respect, but an NDA seals protection. For entrepreneurs, understanding NDAs is as essential as knowing your balance sheet—it’s about safeguarding the very foundation of your work.

📌 Examples in Action

• “The startup founder asked the investor to sign an NDA before the pitch.”

• “Employees are required to sign NDAs to protect company secrets.”

• “The consultant signed an NDA to ensure client data remained confidential.”

🚀 Your Turn

If you had to protect one idea, innovation, or piece of knowledge with an NDA today, what would it be—and why?

👉 Let’s keep growing, one word at a time!