It is downright impossible to avoid a negotiation in business, especially when money and your reputation are on the line.
Who would leave a negotiation empty-handed, anyway? As a business owner, it is vital to master the ability to negotiate better deals.
Let me ask you a question:
Are expert negotiators born, or do they need intensive training to become good at what they do?
There is no secret formula to becoming good at negotiations. While some people have a natural talent to have an uncanny ability to convince, influence, and entice. Others have had to undergo formal training and apprenticeship to develop such an essential skill.
You will find, the more experience you gain, it starts becoming second nature.
Either way, expert negotiation skills are a must-have if you want to be good at analyzing deals, averting risks, and recognizing profitable opportunities as they surface.
Let me fill you in on what expert negotiators do that you can also apply in your business.
Preparation is the key
Before a negotiation, review the topic or issue that needs to be resolved. It helps to understand the topic from different perspectives. Consider the kinds of rebuttals that the other side will present.
Choose the best setting and time
To make the most out of a negotiation, pick a date and time where everyone can focus. For that, ask the other party their availability and see if your schedule aligns with theirs.
Know what you want to achieve
What are your criteria for a favorable outcome? From the outset, it’s essential to be clear with what you want from a negotiation so you can determine the best strategy for success.
Get the viewpoint of the other party
Looking into the wants and desires of the other person will allow you to come up with a win-win situation. There are times when you have to make compromises. Consider the other side’s needs instead of letting the negotiation break down.
Provide advantages
Negotiations aren’t just about getting a favorable outcome and letting the other party come out empty-handed. Believe it or not, negotiations are more about accomplishing common goals and making sure everyone gets to shake hands at the end.
Come up with alternatives
Negotiations can get heated when both sides aren’t happy with what has been presented so far. That said, consider preparing for such a situation by coming up with a list of alternatives. Doing this will help you present ideas that the other party will accept and secure your interests in the long run.
Go through the negotiation point by point
Once you are clear with your objectives for the negotiation, you will need to focus on a few points that align with your goals. This will keep you from making unnecessary demands that will lead to an unproductive negotiation.
Learn how to listen actively
A great deal of information is shared during a negotiation, but you will need to pay close attention to the tiniest details that will influence the outcome. Active listening doesn’t just help you pick up key information. It also tells the other party how seriously you are listening.
Write down the details
In any business negotiation, documentation is essential. You will need everyone involved to agree to the terms and understand the legal repercussions in case they violate these terms. So, have someone record clear and straightforward meeting minutes that you can come back to at some point in the future.
Negotiations are a natural part of running a business. So, if you want to maximize how you make deals, consider delegating the rest of your complex workload.
Business Untangled is here to provide solutions that are guaranteed to help your business scale. Give us a call, and let’s discuss this in-depth.
