07 Mar Sewing Seeds of Future Financial Demise
It is impossible to negotiate effectively when you have few, or no, options. If you are not willing to walk away. Dean Acheson, the acclaimed Secretary of State in the Truman Administration, said: “The single most powerful tool for winning a negotiation is the ability to get up and walk away from the table without a deal.”I’ve seen smart people all but seal their financial failure by failing to negotiate effectively. By being unwilling to walk away. For example, I’ve seen smart people want so badly to become a business owner that they will agree to unreasonable terms (i.e. terms of purchase of a business).
Sure, the buyer gets what they really want – the keys to a business. They, in their mind, “have arrived”. Unfortunately, they have also sowed the seeds of their future failure.