How to Negotiate a New Business Contract

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With a contract employment will come the need for an inherent contract. This can be drawn up via an email exchange or by an attorney. When you agree on a contract it is for you, your skills and any level of employability skills training you have undergone. It is important to know how to negotiate the contract in order to get a fair fee and a proper level of trust which can be a huge aspect of the job.

Here are a few tips that you need to know when negotiating a contract:

Signing the piece of paper

It is important that you know when the right time is to sign the contract. Ensure you get the vital information before signing anything.

Know your worth

If you don’t know what you are worth, then you are facing selling yourself very short. Do your research and then when an offer is made for your products or services you will know exactly how you need to respond. You can check out the contract calendar, so you know when to announce your price. Unless you have come to your position through a selection of apprenticeship pathways, you may be unsure of what your worth professionally is.

Researching your client or employer

Definitely research your client or emplyer before you start the negotiation. You may have low visibility, but you cannot go in there blind. You need to know as much about them as you can and whether they are trustworthy before you sign.

You don’t just negotiate with money

You can negotiate with things like your deadlines and other factors like who will pay for shipping etc, this is all added incentive which is much more than cash flow. It will depend on your field and what type of assignment you have. Don’t be narrow when it comes to negotiations stick to it and don’t be afraid to negotiate in other terms than money.

Being reasonable

You need to be thinking from the clients/employer perspective. You can protect your interests but are you ignoring theirs? Ensure you are being fair in all ways.

Guarding your emotions and communicating with care

Stay calm and learn to reinforce you want to work together. Choose your words wisely which can make such a huge difference.

Don’t be scared to negotiate

Some of us fear the confrontation and we feel that negotiation will create an awkward feeling or even disagreement, but it doesn’t need to be the case.

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You can negotiate which is simply just communicating your expectations. If you feel the contract does not suit your needs, then speak up. Someone who is worth your time will not run when you have politely stated your terms

Don’t rush

It is important not to hurry the process. Don’t sign it without reading the contract and one mistake everyone does is they only read it once. You owe yourself time to consider the contract.

It is not about losing or winning

When negotiating a contract, it is about finding the middle ground that both of the parties are happy about. This is where you both need to work together. The goal is to have mutual trust. If it ends up being that you both cannot work together and come to an agreement it doesn’t mean you have lost it just means you have uncovered another learning curve. Make notes for what you would like to do better next time and what you would like to achieve.

You are using the skills you have learnt and the experience over time to add benefit and hopefully profit to a business don’t sell yourself short stand your ground and stick to what you believe even if you are rejected a few times there will be a spot out there for you.

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