- April 29, 2019
- Posted by: Roger Walker
- Category: Business
To take over a business you need to be able to negotiate the best conditions!
You are about to take over a business, but are you unsure about which trading techniques to put in place to close a good deal? Follow our practical advice below, which will allow you to conclude the negotiation in an absolutely advantageous way and to lay a solid foundation for a good business project.
Bargaining begins at the lowest possible price
An affordable price for your pocket and at the same time also reasonable for the seller willing to sell the company: to provide an acceptable proposal that can be shared by both parties, you can’t think of offering too small a figure, because the risk is to put the other person in a position to lose interest in you and look for better proposals elsewhere. Before making any offer, carefully analyze all the characteristics of the company you are about to buy and establish a low but plausible starting price.
Be wary of super-cheap opportunities
If those who intend to sell accept your first offer down without blinking, it probably means that the company in question has such obvious problems that it will free itself as soon as possible, even if the actual gain does not come close to the initial request. In such a situation, it is appropriate to carry out in-depth research on the activity in question to find out any problems that characterize it (it presents significant expenses, is at a loss, does not have many customers, etc.).
Show yourself balanced, rational and reasonable
Starting a negotiation with too inflexible or unyielding attitudes is always a big mistake because, as you want to conclude the best deal possible, the other person also has the same intention , therefore, if you intend to find a good compromise for both parties, prove calm , sensible and, above all, available.
Don’t be too condescending
When you have to take over an activity, the fact of being excessively submissive towards the bidder, automatically puts it in the position of being able to dictate its rules without possibility on your part to reply: if you believe that your proposal for some reason is inappropriate or does not meet certain expectations, explain your concerns patiently to find a valid point of agreement.
If you are attacked, respond in kind
Are you faced with a bullying salesman who tries to impose his rules aggressively? Answer with the same coin to make clear your iron position and make it clear that such attitudes are perceived as useless, ineffective and ridiculous.
Wait until you have all the information you need before you bid
In the initial phase of any negotiation, the buyer intending to purchase must keep the available budget as secret as possible, because otherwise, besides exposing himself too quickly, he also risks irreparably compromising the success of the negotiation. Interested in a certain business? Listen to the presentation of the seller, think about the costs and the possibilities of growth of the company in question and, if the asking price seems acceptable, make your proposal.
After the purchase, maintain good relations with the previous owner
Taking over an activity is a delicate operation to be carried out with the utmost caution and with all possible support also from the previous owner who, if necessary, can provide you with the right advice to get you started in the best possible way. Whether it’s suggestions about customers or suppliers, rather than about business growth strategies, when you find a business, try to get and maintain the seller’s support, so that his experience and knowledge can be extremely useful.
Now that we have explained to you what trading techniques to put in place when you find an asset, you can finally think of concluding profitable negotiations, able to give you concrete satisfaction in the short and long term.