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How to ... Embrace your inner negotiator
HOW TO …
Embrace your inner negotiator There are many reasons why people decide to take the leap and become an entrepreneur. It could be to create a flexible schedule, build their legacy, or improve the lives of people around the world. But very rarely does ‘to become a great negotiator’ appear on the list of motivators. In fact, for many entrepreneurs, taking on the role of chief negotiator is filled with dread rather than excitement. But it shouldn’t be, because being a negotiator extraordinaire is definitely worth it! By Devon Smiley, Negotiation Expert-in-Residence at Imperial Enterprise Lab
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s an entrepreneur, you’re setting the vision for your company, so honing your negotiation skills is critical to helping you hold your course and achieve your goals. Speaking up and asking for more in your business may mean signing bigger contracts with higher profit margins. But it can also mean setting clear boundaries with potential investors, navigating conflict with a co-founder or your team, and even improving your own work–life balance and mental health as an entrepreneur. Great negotiators are made, not born – so even if you’ve been hesitant to embrace negotiation, here are some tips for how to build your skills and get your best results yet. Embrace small asks Sure, signing multi-milliondollar deals is sexy. But the skill required to tackle those negotiations comes from making smaller asks. A lot of them. Try boosting your next proposal by two per cent. Ask for a meeting to be moved back from 9am to 11am. Call your mobile service
provider and ask if there’s flexibility on your rate. As you succeed with these bite-sized negotiations, your confidence will grow. Get the lay of the land Winging it is not an option when it comes to negotiation. Essential prep work will include researching what’s happening in the market, the company or individual you’re negotiating with, and compiling a list of elements that could either hurt or help. A great source of insight? Other entrepreneurs. Tap into your network to see who’s negotiated similar deals, and ask them what they learned and what they wish they’d done differently. Clear focus Before hearing what’s on someone else’s mind, know your own. What does a great outcome look like for you? What does your company need to move forward and hit the next set of milestones? At what point is a deal not worth signing and you’ll need to walk away? During negotiations it’s easy to get pushed off course by persuasive arguments, so having your desired
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outcome clearly established will help you avoid signing a lacklustre deal. Back-pocket proposals The secret to making negotiation look effortless is investing time in creating alternative proposals before you start discussions. Having a few moves in your back pocket will allow you to keep momentum going without sacrificing strategy by creating counterproposals on the spot. Power up It can be intimidating to be ‘the little one’ in negotiations, and it’s far too easy to throw up our hands and start accepting any offer that comes our way. To help avoid this, tap into your source of power. No one has extra time in their schedule, and they’re not meeting you for fun, so remind yourself why they are there. Why did they accept the call, show up for the pitch or send over a contract? There’s something you’re bringing to the table ¬– innovation, expertise, agility – that they need. Hold onto that whenever you feel a wobble.
Devon Smiley is a Negotiation and Commercial Consultant for founders, startups and scaleups that are ready to go after bigger, better deals, but don’t want to sacrifice vision, impact or relationships. She’s distilled over 15 years and $5 billion of negotiation experience into accessible and actionable guidance that helps build the skills needed to navigate conversations with confidence. Working with teams around the world (London, Paris, Singapore and Toronto) and across verticals (fintech, deeptech, SaaS, CPG and more), Devon has supported founders in cultivating the negotiation, communication and commercial skills they need to grow their businesses. A strong believer that negotiation isn’t just about boosting bottom lines, Devon has worked with pro bono partners including UN Women and the Clinton Foundation.
Issue 4 / 2021–22
