How to be a great negotiator in 10 easy steps

As a founder, you have to become good at negotiation. Here is awesome advice from someone who had his last startup bought out by OYO at Rs. 220 crores, Dr. Ritesh Malik

A thread on his learnings on how to NEGOTIATE like a PRO: ??

1) CLARITY:

Know exactly what you want BE PREPARED. In negotiation, the one who's prepared usually wins the deal & controls the flow of the deal. Make VALUE NOTES, what value are you adding & what VALUE are you looking to receive in return. VALUE CLARITY is god for any negotiation

2) CREATE WIN-WIN Situations:

Best deals are ones wherein both parties feel that they've won. The easiest to create this feeling is to know the NORTH STAR each party wants, once that is clear it's easy to come on each one's agenda & build a happy ending.

3) LISTEN & TALK LESS:

The more you listen, the better you understand what the other person wants, don't just listen to the words but most conversation is via tone & body language, observe that, this will help you understand gestures & know the true situation masked by words

4) BE RESPECTFUL:

Best negotiators talk very politely are respectful & don't throw tantrums or use strong/intimidating body language to show superiority/gain control of the deal. It doesn't work. People want to do business with people who treat them well.

5) BE CANDID & POLITE BUT FIRM ON YOUR GROUND:

Be direct & honest about how you feel, once you're clear on what you want, COMMUNICATE. Don't beat around the bush & don't be shy. Be polite but firm on how you feel about certain aspects of the deal which make you uncomfortable

6) YOUR PAST REPUTATION:

Plays a very positive role in how you're perceived. Especially positive background checks work wonders. Pre-negotiation TRUST makes the deal frictionless. If the deal is with someone you don't know, find common connections to establish a fulcrum of trust

7) DON'T BE AFRAID TO STATE AN OUTRAGEOUS NUMBER:

A lot of people are afraid to ask for the stars in negotiation. It helps if you talk a number which might sound outrageous, perception of value is a very subjective topic & ask for the stars & you'll get the moon.

8) CREATE A SENSE OF URGENCY:

Deal fatigue is the most common cause of fallen negotiations. If there is no progress in 3 meetings, don't waste time, chances of fruition are very less. Instant vibe creates magical outcomes, but if it stalls it won't work.

9) EMPATHISE WITH THE OTHER SIDE:

Understand from where the other side is coming, going into deep rationale & putting your points leveraging DATA works wonders. It's difficult to refute data. BE FLEXIBLE & create multiple strategies to let other the side feel they've won.

10) EVERY FOUNDER NEEDS TO BE A NEGOTIATOR:

People think negotiation is a negative word & you need to be a jerk to be a good negotiator. The answer is no, you can be a very good negotiator by applying the above & truly adding value to people's life & bartering value in exchange.

Follow Dr. Ritesh Malik here on LinkedIn