3 Strategies Real World Entrepreneurs Use to Negotiate to avoid Bankruptcy
If you want to have business negotiations that are successful, you need to have accurate information in regard to what you are dealing with. Being prepared in your own mind is also a necessary component for success. Whenever you enter into negotiations, you should always keep a negative frame of mind out of the picture. So if you want to fail, go into negotiations with a dismal state of mind. Don’t do this if you want to succeed. Your best friend, really, is to have great information to help you get what you want. Even though you know a lot about the business that you are doing, you have to know about your opponent and what they do. The point is that you want to have everything resolved, yet still keep in mind they are your opponent until negotiations are complete. Remember, a bad decision can lead to bankruptcy, either chapter 7, 11, or 13, more at www.matthewnmiller.com.
Keep in mind that having the ability to walk away from negotiations may be in your best interest. So when you go into negotiations, you have to be able to read people. You have to know what they’re thinking to some degree. Your belief in yourself, and your feelings on your own position, will be revealed during the negotiation process. People that have these feelings should hide them. You have to learn how to do that. Willing to accept less – this is what people will do if they don’t know how to walk away from a bad deal. Remember that negotiators won’t always give you what you want. That’s how they operate. This sense of being able to walk away, and not take what you are given, will also come through while negotiating.
It’s important to be strongly disciplined mentally if you want to be successful in your negotiations and avoid bankruptcy. It of course is always good to seek legal counsel when negotiating anything. Worrying about their own problems is something all people are guilty of. Focusing on the other problems’ problems, then, is a skill you need to develop. Before you start negotiating with someone, you need to figure out their problems so that you can do some research before you sit down at the table. This will reveal the financial pressures including bankruptcy that they are under which gives you a chance to find the ways that you will be able to use those pressures to your own gain. No matter what you are dealing with, don’t forget that the other people have problems and issues as well. This is where yourself discipline becomes very important. If you fail to do this, then you will not be thinking positively or keeping your eye on the ball. It’s easy to be distracted by your problems but that is exactly what your opposition wants you to do.
Figuring out a way to have at least 24 hours as a buffer in case things go wrong during negotiations is a smart thing to do. To get this time, tell people you have to discuss the matter with others. Since you are going to make all the final decisions, this is simply a useful tactic. Should this be the situation, your essentially lying about what you need to do. The easiest way is to tell them you are working with advisers that you need to consult with. Of course all will remain anonymous but they exist and you may need to consult with them. Never tell the person you are negotiating with the truth, especially if you do make all the decisions for your company or business. When doing negotiations with people or businesses, having the right or proper perspective is absolutely imperative. It’s in your best interest to remain emotionally detached, yet always polite and cordial. You need to avoid innocent chitchat and personal interactions as well. Any small talk or personal interactions should be viewed, from your perspective, as an attempt by the other person to take advantage of you or force you into bankruptcy.