Franklin warns that dealing with a dishonest or unscrupulous person is unlikely to produce either moral credit or lasting practical benefit. “Honor” refers to the effect such an association may have on one’s integrity or reputation, while “gain” points to the uncertain material rewards of doing business with someone who cannot be trusted.

The saying is deliberately categorical, but its broader lesson concerns the importance of character in relationships and transactions. An apparently profitable arrangement may prove costly if it depends on deception, unreliable promises or conduct that damages one’s standing with others. Franklin therefore links ethical judgement with practical prudence: choosing trustworthy associates can protect both reputation and material interests, whereas involvement with dishonest people may put both at risk.