What Every Deal Maker Needs to Know
The examples portrayed in fiction about businessmen have nothing to do with reality. They give a false impression of what happens. Professionals know better than to act in a similar fashion when a huge deal is being discussed. Possessing a calm temperament, a sense of humor, and the view of business as not personal will ensure your negotiations get you the best result.
A review of previous performance reveals that those who choose to remain calm and rational as the negotiations proceed, as well as being sincere, honest and approachable manage to land the best deals. Staying reasonably emotional was acceptable. Seating across the table from an emotional person did not inspire any confidence from the sellers. This knowledge should position anyone on the right path to handling such negotiations.
Those who are emotional will tend to ignore every good thing they are being offered. It also makes reading a situation difficult, as emotional people are not predictable in their behavior. Emotions also make it hard for people to see a situation clearly and think of possible options. Their emotions curtail their ability to maximize their gains. If used properly, emotions can help get a good deal faster. Nicer negotiators make for better counterparts. This will give you better gains.
A nicer outlook helps a buyer when the seller takes the time to listen to your lower counter offer. The most crucial part of any negotiation is during the stating of the offer. It greatly helps when the presenter has a nice personality, so that the seller does not feel insulted or exploited. The seller will be willing to give you some consideration. It will make understanding your position much easier. Negotiators lacking in this quality are not people brokers of such buys wish to see again. They do not want to destroy their client base by bringing them to a negotiating table occupied by emotional counterparts.
Since no business is perfect, a nice personality makes up for a lot on the seller’s part. Before sitting down for the negotiation, the buyers usually do their homework on your business. Your accounting methods shall be analyzed. There is a chance what you have in place is substandard according to them. A nice personality adds points in your favor. Your honesty throughout the negotiating process could mean the difference between success and failure. Honesty helps a buyer to accept what you point out as the good bits of the business.
To achieve the desired likeability, a buyer needs to first respect the place where the seller has taken the business. They invested a lot into it. The respect should exceed the negotiating table. A seller needs to feel reassured that the business will be in good hands.
Sellers need to be patient. The process usually takes a long time. Buyers will be very inquisitive, and the seller needs to reciprocate adequately. That alone can make or break the sale. The buyer does not know a lot about the intricacies of the business.
The seller has to make it easy for the buyer to follow their information. You can also prepare instruction manuals, or offer to train them in the various operations should they choose to buy.
Ensure the seller receive your sincere compliments. This is their creation, and they put so much into it, so you offering lower than what they expected is already hard on them.
To make the most of such opportunities, it helps to be a nice negotiator. More business tips can be found on the Cheval Capital blog, where their managing director Hillary Stiff offers more of such great advice.