One of the most important skills for someone in the business world is the ability to close a deal. It generally takes both skill and talent to strike a great deal, but there are some tips that can help anyone do better.
Deal making skills are no reserved for the one time deal either. Being a great deal maker is something that is cultivated each day, developed over time, as you never know with whom your next deal will be.
First: You have to know the Value of the Deal
Here’s the thing, before you can make a great deal, you have to know the value of the deal. You need to know what it means to you and to the other party in means of time and money.
Once you know this, you know how far you can push the other side, and you know the line where cost exceeds benefit on both sides. This will keep you from spending more time and money on the deal than it is actually worth.
Next: Know When to Walk Away
While moderate risk taking can be profitable, if you know the value of the deal, you can know when it is time to walk away. Not only can this save you time and money, but it can open the door for bigger and better deals to come.
The struggle of the cost-benefit analysis is real, but it isn’t as hard as it may seem. Math makes it easy to determine the time and money involved. The hard part is the judgement call when you have to choose between relationship into the future or time and money in the present.
Always: Focus on Relationship
This is where the cultivation and process come into play. While deal making should not be the motivation behind every relationship, cultivating good relationships can help you when it comes time to negotiate.
Respect, appreciation, and reciprocation go a long way in the business world when it comes to both relationships and making deals.