How to Negotiate in Business

“Today in business you don’t get what you ask for – you get what you negotiate.”  For some people, negotiating is second nature but for the rest of us it may not be.  It’s essential to carefully study and learn negotiating strategies and tactics so that you don’t end up on the losing end of a business deal.  Everybody always wants to know: “What’s in it for me?”  And if you want to indeed find out what’s in it for you, you need to become a master negotiator.  So how do to that?

First off, learn to recognize and see both sides of the deal or maybe it might be better to say, the argument.  Know what you want and what they want.  You always need to know what it is that you specifically want out of a negotiation.  Determine what your position is right off the bat.  Don’t wait for the other side to do so first.  Your position shouldn’t be influenced by theirs.  Write down a wish list of things you want before you start negotiating – think about what you’re willing to compromise on and what you’re not.  You don’t want to be coerced into accepting terms that don’t meet your desired goals.  Be very specific in terms of dollars, percentages and timetables. 

While you might be eager to go after what you want, don’t forget to be patient.  “Lack of patience can make you look like an amateur and kill a deal.”  Don’t let the other side see you sweat.  Don’t make known how important your timetable is to making a deal.  If they see you want to make it right away, they might not be willing to concede on certain issues – in essence, lack of patience puts the other side at an advantage.  Bottom line: Never accept a first offer.

Know when it’s time to walk away from the table.  Know your limits and don’t let the other side push you beyond them.  Ask yourself what’s the minimum amount you’re willing to accept.  It’s not an auction.  Don’t let yourself get swept up in the frenzy and outbid yourself due to over-excitement.

With all this said, you will always have to make concessions in a negotiation, if for no other reason than to make the other party feel that they’ve gotten something out of it too.  Decide in advance what’s really important to you and what you’re willing to compromise on and what you’re not.  Don’t price yourself out of a good deal.  Ask yourself what your limits and “deal killers” are.

Additionally, you have to be willing to add value to those at the other side of the negotiating table or they won’t agree to your terms.  Don’t expect anyone to give you anything for free.  Look for common ground.  Show the other side how giving you what you want (and sometimes that’s some not all) will add value to the deal and be beneficial to them as well.  Look at how the negotiation can bring positives to both sides of the table.  Seek win-win opportunities.  Everyone at the table has different needs and wants so ask how so ask how the negotiation can be advantageous to both sides.  Always give a little.  Remember what’s important to the other side as well.  

Never undercut your value.  “If you are willing to take a hit to your bottom line in exchange for nothing, your credibility goes to zero, now and in the future.”  If you do it once, it becomes expected and you might look weak to the opposition – they might be able to pull one over on you.  Don’t let that happen!

Stick to your guns!  If you’ve offered a good proposal and you know it, stand by it!  “Don’t let fear, condescension from your counterparts, or chiding language make you back off from your position.”  Put the ball in the other side’s court.  Ask them to show you what they think is wrong with the deal you’ve put forth.  Engage them.  Make them think.  Go on the offensive; don’t play defense.  Don’t back down.  Remember, you must always be willing to walk away no matter how painful.

Lastly and most importantly, document the deal on the spot!  Now that you’ve gotten what you wanted or at least the most important parts of it, set it in stone.  Get it on paper ASAP!  The other side’s memory could vanish quickly if you give them a day or so to mull it over.  While you don’t want to look overambitious or let the other side see you sweat, make it known that the deal has to go through right away and that there’s a statute of limitations on how long you’re willing to wait to put the deal in place.

While negotiating can seem daunting if you haven’t done it much or aren’t really a pro at it, follow my advice above and you’ll see you’re a lot stronger than you originally thought and might just walk away from the table a winner!

Here are some articles you might want to check out on how to negotiate in business:

“How to Negotiate: Using Business Communication and Interpersonal Skills to Get What You Want”: http://www.briantracy.com/blog/business-success/how-to-negotiate-using-business-communication-and-interpersonal-skills/

“10 Ways to Negotiate Better”: http://www.startupnation.com/business-articles/9579/1/how-to-negotiate-10-ways.htm

“7 Essential Business Negotiation Tactics”: http://www.csoonline.com/article/595564/7-essential-business-negotiation-tactics

“The Art of Negotiating”: http://www.entrepreneur.com/article/203168

Until next time…

The Benefits of Using LinkedIn to Grow Your Business

While LinkedIn is a great way to promote your career by highlighting your work experience, it is also a powerful tool that an entrepreneur can use to promote his or her business.  Businesses can use the social networking site to promote their companies as well and reach a broader target market.  LinkedIn can be used strategically to help grow your business and expand your operations.  By promoting your company via LinkedIn, you can be seen as a thought leader in your industry.  If you haven’t already created a LinkedIn profile for your business, now is the time to do so!  So how can you help influence your industry and grow your business via LinkedIn?

First off, you can network through groups.  LinkedIn has thousands of groups that you can join to meet and chat with other industry professionals and get the word out about your business.  Try joining highly trafficked groups that have several postings each day on topics that are related to what your business does and the goals you are trying to achieve.  This is a great was to share information by both giving it and gaining it.  Begin interacting with other members and offer useful and informative tips, insights and posts.

LinkedIn also allows you to give back to the business community.  By participating in groups and networking on LinkedIn, you’re not only growing your business but you can start to be seen as an expert in your industry by others.  The higher the quality of advice you offer, the more you will be perceived as a go-to source for information.  This will put your business in a position of power and helps to develop your reputation as a leader in your industry.

You can also use LinkedIn to launch new products and services that your business provides.  “While you don’t want to overtly market to your groups, you can use your profile, news feed and relationships within the LinkedIn community to help launch or advertise your products and services.”  This can be very helpful in gaining strategic alliances and forming partnerships with other companies who can assist you in promoting your business and brand.

Another benefit of using LinkedIn for your business is that it increases your discoverability in the marketplace.  Your posts and profiles become search engine friendly.  Your LinkedIn page will show up in searches on the Internet and helps make it easy for future customers to locate you and learn more about what you have to offer.  Search engines such as Google love high profile, well-established websites like LinkedIn.

LinkedIn also allows you to connect with other industry professionals.  You can use the site to recruit new talent to your company or connect with other business partners or vendors.  You can search LinkedIn by specific types of companies which will enable you to connect with others that can help you grow your brand in the broader marketplace.

Amongst popular social networking sites such as Twitter, Facebook and Pinterest, LinkedIn is another great place to post content about your company and the industry you are a part of.  The more places you are able to post high-quality content about your business, the better your chances that people seeking products or services your company offers will read it  Because LinkedIn has such a unique user base, your business with be able to market its message in front of a new and targeted market.  “Also, by creating content specifically for LinkedIn, you will be able to drive targeted traffic into your lead nurturing system.”  This can turn into high quality leads for your business. 

LinkedIn might be one of the most overlooked social media networks by small businesses and it shouldn’t be.  Most small businesses assume LinkedIn is used by individuals looking to expand their resume.  However, the real honest truth is that LinkedIn can be an excellent resource to promote your own business and brand.  As I’ve discussed above LinkedIn can help you gain exposure in search engines, allow you to connect with likeminded professionals, businesses and organizations and become a thought leader in your industry – all which can help you grow and thrive as a young business in the marketplace.

Here are some articles you might want to check out about the benefits of using LinkedIn for business:

“3 Reasons Your Business Will Benefit from LinkedIn”: http://nuancedmedia.com/3-reasons-your-business-will-benefit-from-linkedin/

“The Ten Reasons Your Business Should Be on LinkedIn”: http://www.bizjournals.com/pittsburgh/print-edition/2012/08/24/reasons-business-should-be-on-linkedin.html?page=all

“10 Reasons Your Business Should Be on LinkedIn, Part 1”: http://blog.straightnorth.com/10-reasons-your-business-should-be-on-linkedin-%E2%80%93-part-1/

“10 Reasons Your Business Should Be on LinkedIn, Part 2”: http://blog.straightnorth.com/10-reasons-your-business-should-be-on-linkedin-part-2/

 Until next time...

Overcoming Obstacles in Business

There’s no perfect strategy for business success.  Oftentimes business owners or more likely young entrepreneurs just starting out face many obstacles on the road to attaining their goals.  No new business owner won’t face challenges, plain and simple, but there’s no reason you can’t overcome those challenges.  As you start a new venture there will be failures along the way but there will also be great rewards and successes.  So how can you rise above and overcome obstacles in business?

First off, surround yourself with positive people and creative thinkers.  “This is a great way to overcome the inevitable hurdles and obstacles you will face as an entrepreneur.”  Ignore outside negative influencers and the naysayers who say you can’t do something you know and believe in your gut you can.  Have faith in your abilities and your vision.  Build up a strong network of people that believe in you.  Surround yourself with positive people that will help you focus on achieving your dreams even when things seem tough.

Keep plugging away, or as they say: “Keep on truckin!”  Oftentimes it’s easy to get down on yourself or fill your head with doubt as you move your business forward.  As a young business owner, every day will be filled with challenges – you must venture into uncharted territory, overcome new obstacles and face new adversaries.  Give yourself a gut check once in a while; go back to your roots; re-analyze why you started up your business in the first place.  Dig deep and keep moving forward.  If you believe in yourself, others will too.

Look for new solutions to everyday problems.  Keep trying regardless.  When faced with business obstacles, if you keep trying, even through the tough times, you’ll be forced to examine alternate solutions to new problems.  Be persistent.

See your obstacles as a chance for inspiration and new ways of thoughts and processes.  “Obstacles are just feedback from reality.”  Obstacles can be valuable and teach you how to readjust your strategy, tweak your brand and redefine a product.  Obstacles can be seen as “good thinking partners.”  Obstacles bring to light adjustments you must make in order to be a success.

As Nike said: “Just do it!”  Oftentimes an entrepreneur’s biggest roadblock to success is the fear of failure.  Business owners get stressed knowing that their income and livelihood depend on whether or not they can make a go of their venture.  Don’t let fear take charge of every decision you make.

Find a way or make things happen for yourself.  Even if you have a mentor and great employees, no one is going to give you the ultimate formula for success.  You need to make it a reality all on your own.  Learn to preserve and make things happen on your own whether that’s through networking or branching out into social media or keeping yourself informed of daily market trends.

Keep a positive attitude and combine it with action.  This is the best way to see solid results. Take some time for yourself once in a while so that you can recharge your battery and think more clearly.  This will bring the important things into focus.

Use your brain power.  “Your brain often does not fully distinguish between a real and imagined thought, so use its power to imagine what it looks like when you have overcome an obstacle successfully.”  Examine problems thoroughly and ask yourself how you can work through them carefully that leads to a successful outcome. 

Get another perspective.  Entrepreneurs tend to be problem solvers and when faced with obstacles or limitations they look to find solutions.  That said, they can’t always find their own.  Look to others (whether it be a mentor, friend, colleague or employee) and ask them how they might overcome an obstacle you are currently facing.  Listen to others and really “hear” them.  Outside perspectives can spark creativity and new ways of doing things that can be more effective in the long run.  

Take baby steps.  Don’t just jump right into your new venture head first and without thinking.  Plan carefully.  Think about the future and your long-term goals.  Don’t allow roadblocks to stand in your way of success and hinder your progress.  Think of small ways to overcome big problems.

Build a successful team of people around you.  Make smart hiring decisions.  Bring on people that are motivated and will add value to your business.  Ask how new hires can help you grow.  Listen to their thoughts and opinions and you just might discover new ways of doing things.

Lastly and most importantly, don’t be afraid to ask for help when you need it most.  There’s no shame in reaching out to others for motivation or inspiration.  Running a business doesn’t mean you have to run it alone! 

Here are some articles you might want to check out about overcoming obstacles in business:

“5 Tips for Overcoming Small Business Challenges and Failures”: http://www.morebusiness.com/managing-challenges

“Overcoming Challenges in Business”: http://www.monroestaffing.com/blog/?p=236

“Overcoming Challenges that Prevent Small Business Growth”: http://www.canadaone.com/ezine/april07/small_business_growth_challenges.html

“Overcoming Challenges that Stall Small Business Growth”: http://voices.yahoo.com/overcoming-challenges-stall-small-business-growth-8279473.html

Until next time…

How to Be a Great Boss

Sometimes being the boss is no fun and can be a very difficult challenge often one of the most difficult young entrepreneurs face as they may have never taken on this role before.  Being a great boss means leading, listening to your employees and setting forth the goals of your business to those working for you.  So how to actually become a great boss?

First off, try to keep your emotions in check when interacting with your employees.  Major blowups and outbursts can be very detrimental to your relationship with your employees.  It adds stress to their daily work lives and tends to detract from success.  You need to be a motivator and give positive encouragement.

Treat your employees the way you would want to be treated – they are people after all with emotions.  Try and act like a boss you’ve admired in the past.  Your employees will appreciate you and work harder if you show them respect.  As the boss, you must set an example of the values of your company and others will follow.  If you’re hostile, it will lead to hostility amongst employees.  Breed an atmosphere of comfort.

Keep your employees “in the loop” on a daily basis.  Make sure that their priorities are in line with yours.  Encourage questions.  Reach out to employees and see how they’re doing.  Reward success.  Most importantly, listen.  Often employees have good ideas and they want to feel valued and like their opinions matters.  Those ideas, if listened to, can often lead to new and innovative ways of doing things.  Listen to the issues your employees are raising and follow up.

Delegate tasks.  Show your employees that you have faith in their abilities and that you trust them.  Show them support and enthusiasm.  Let them know that you’re not a micromanager and that you have confidence in their abilities to work independently.  Don’t hover.

Don’t play favorites.  While you might thing one of your employees in particular is a standout success, tell them that in private.  Don’t hold meetings where you single out employees for things they could do better.  Talk to them in private and give them tips on how to better manage their day and workflow.

Allow your employees to express their concerns.  Have an open-door policy where they feel free to talk to you in confidence and in an accepting environment.  Provide a listening ear; really “hear” them.  Be sympathetic to their concerns and show them that you understand and are on their side and are there to help them succeed and grow.

Value your employees’ opinions and you just might learn from them.  New hires might have come from companies with different rules and ways of doing things.  Take those into consideration and maybe even consider implementing them yourself.  Be open to advice and you might find better, more efficient ways to run your company.  Be open and opportunity may follow.

Train your employees to better enhance their skills.  Bring in outside advisors and run focus groups and provide an environment that fosters a learning environment.  Help them to better enhance their ways of working on a daily basis.  Teach them to prioritize.  When you develop your employees’ skills, your company runs smoother and better.

Always keep a positive attitude around the office.  “Strive to see the good side of things and point these out to your staff.”  Don’t talk despairingly about the company.  Keep a positive outlook.  

Have integrity as a boss.  You must be trustworthy and honest to have credibility with your employees.  Don’t manipulate or lie.  Set standards of truthfulness and the behavior of your team will respond in kind.

Be an advocate for your employees.  Show them that you’re on their side and stand behind their ability to make independent decisions.  Helping your team get the tools and support they need is key to being a good boss.

Hire and fire effectively.  Your team counts on you to provide the best co-workers possible.  Hire people that have the ability and willingness to do the job right.  You want to bring people on board that mesh well with them team you already have in place so they can all work together more effectively and build trust and camaraderie.  You also have to be willing to let go members of your team who are unmotivated or bring down employee morale.

Have a vision and communicate it effectively to your staff.  “You are the captain of the ship and you need a map and a navigational plan to get ahead and meet your goals.”  While you want input from your team, you’re still in charge and it’s your job as a boss to create a plan and inform everyone about what his or her role is in the company.  The plan you develop creates the results you desire and want your team to embrace and implement.

Be knowledgeable about your industry and keep ahead of the game.  Make sure you’re networking with other corporate leaders and visionaries.  Attend conference and read important media on your industry.  This allows you to share the latest thinking with your team and communicate to them any new goals or plans for the future to move your business ahead steadily and successfully.

Motivate your team to look for extra business development opportunities.  Give your team monetary incentives for original thoughts and ideas about growing your business.  Make your employees want to exceed expectations and give them every opportunity to do so.

Being a great boss in not for the faint of heart and it means “balancing business with humanity.”  The day-to-day challenges of being a great boss can be difficult, overwhelming and intense but the positives you will reap from being the best you can be are unlimited.  A great boss not only impacts his or her current team but mentors and leads by example.

Here are some articles you might want to check out on how to be a great boss:

“How to Be a Good Boss”: http://www.wikihow.com/Be-a-Good-Boss

“7 Unusual Things Great Bosses Do”: http://smallbusiness.yahoo.com/advisor/7-unusual-things-great-bosses-do.html

“10 Things Great Bosses Do”: http://www.cbsnews.com/8301-505125_162-57444143/10-things-great-bosses-do/

“17 Signs That You’re a Great Boss”: http://www.openforum.com/idea-hub/topics/managing/article/17-signs-that-you-are-a-great-boss-1/

Until next time…