STEP 5: Reaching agreement
Check the meaning Make sure you carefully check the meaning of each specific agreement at the end of the negotiation, so that both parties are perfectly clear on how you are going to proceed. For example, if you are an accountant who has just secured a new piece of business for your firm, by negotiating an introductory fixed rate of £1,500, you need to make sure you and the client have the numbers exactly right! Is that £1,500 per month, per year, per minute? Does it include VAT? How long does the introductory offer last for? Do they need to sign up for longer than that period to secure the deal? You don’t want the agreement to unravel because of a misunderstanding over a detail.
It is tempting to want to make a final decision on each small issue as you progress through a negotiation. This is attractive in theory, but in practice it can make it hard to reach an overall agreement. It’s also important to remember that the negotiation isn’t over just because you have come to an agreement. You will need to follow up with the other party. So, here are our tips for reaching a final agreement and following up: Think of the bigger picture As you progress through the negotiation, make it clear to the other party that any agreement made on a specific issue is conditional, based on the shape of the full package. You don’t want them to cherry pick things you have agreed
NEGOTIATING IN FINANCE | STEP 4: PLAN TO SUCCEED
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