Becoming a Better Negotiator

The trick to great negotiating is to make both parties happy

By Elaine Grant, Principal, Muddy Dog Media LLC

While many entrepreneurs don't give it much thought, negotiating skills are among an entrepreneur's most important attributes. When you start or run a business, you negotiate daily, whether you're hiring an employee, leasing space or equipment, selling your products and services, or contracting with a vendor.

Becoming a better negotiator can help you get fair and prompt payment from your customers, as well as good service and terms from vendors. Negotiating also allows you to settle on contract terms that work for your company, and can help you hire and retain good employees.

There are four fundamental ways for you to become a better negotiator. You can:

Read tips from experts or buy books on the subject
Attend seminars in person or online
Get personal coaching from a negotiation expert
Hire a mediation or negotiation consultant to do your negotiating for you

Assess your strengths and weaknesses

How good a negotiator are you? You may be better than you think.
Try: Take this quiz provided by the SAB Negotiation Enterprises.

Brush up on your skills by looking and listening

There's no shortage of negotiating advice on the Web.
Try: The Program on Negotiation Clearinghouse (PON) at Harvard Law School is a gold mine of information; peruse tips and articles or browse books and DVDs produced by the experts at this world-class negotiation institute. It also offers many free downloads, including an online book of quotes and quips for negotiators called "You Didn't Just Say That." An easy way to improve your skills is to tune into the "Negotiating Tip of the Week," a podcast by Josh Weiss, a director at PON. Negotiator Magazine (subscription is free) is a small but useful publication. Also see Gaebler Ventures' tips for entrepreneurs.

Attend seminars

Since negotiating is a "think-on-your-feet" skill, there's no better way to improve than to practice. Seek out role-playing situations and look for courses specific to your needs, since people teach everything from how to negotiate buying a car to (trying to) negotiate Middle East peace.
Try: Take a two- or three-day executive seminar at Harvard's PON. The Aprenda Group and Negotiation Dynamics are two of many private companies that offer training in negotiation.

Get help

A negotiation strategist can coach you on complex or emotionally weighty deals; he or she can also represent you if you don't want to go it alone.
Try: Find a consultant at SAB Negotiation Enterprises. Get coaching on critical deals from the Consensus Group.