Contract negotiations can be a nerve-wracking experience for both you and your client. You want to do everything right and make sure you win. But, what if you’re not sure how to handle things? Or, perhaps you feel like you’re up against it? After all, your client has the upper hand and they know exactly what they need from their contractor. Negotiating contract after contract after contract can take its toll on even the most level-headed of contractors. And, that’s why so many contractors end up losing at contract negotiations after a while. In this article, we will go over some helpful negotiation negotiating tips that contractors can use to negotiate more confidently and successfully with their clients.
Be Prepared Before You Sit Down for Negotiations
First, you want to make sure that you’re ready to negotiate before you sit down with your client. This means having all of the documents you need and being prepared to show them what they need to know. And, as we’ll discuss below, you can keep these negotiation techniques in mind while you’re collecting these documents. When it comes to your client, you want to make sure that you’re prepared to meet them where they’re at. Every client is different and you want to make sure that you’re meeting them where they’re at. This means being able to quickly understand what their needs are and what they want from you. You also want to make sure that you show that you know how to meet people where they are.
Know Your Worth
One of the first things that you should do when negotiating with your client is to take a look at yourself and what you’re worth. This can help you determine what you’re willing to ask for and what you deserve as a contractor. Know what you deserve as a contractor, and know what your client is worth as a client as well. This should help you establish a proper price range before you start negotiating. You can also do some research online to determine proper contractor and client worth. You can look up contractor websites and Google contractors in your area to see what they charge. You can also look up the contractor’s references and see what jobs they have done in the past. This kind of information can help you determine what you are worth as a contractor as well as what your client is worth as a client.
Know Your Scope and Objectives
Before you sit down for negotiations, it’s helpful to know exactly what your scope and objectives are. You want to make sure that everything you’re doing, you’re doing for a good reason. And, that it’s a reason that’s good for your client. You don’t want to do something just because you think it’s the thing to do. This means that you need to be mindful of the scope and objectives of your client. You can’t do things that aren’t part of your scope and you want to make sure that you know what your client’s objectives are and that you’re able to address them.
Make a List of the Good Stuff You Want in the Contract
Another important negotiating tip is to make a list of the good stuff that you want in the contract. This will be different from your price range and your contract preferences. Be sure that you make a list both of the stuff that you want in the contract as well as the stuff that you want to negotiate out of the contract. Nowhere on your list of good stuff should there be items that you do not want to negotiate out of. You want to make sure that nothing that you want is taken off the table during negotiations.
Be Polite When Negotiating Contract
Sometimes you’ll come across a client who is not very understanding or polite when they first start negotiating with you. This may be because they are trying to negotiate a lower price for the job. Or, it may be because they don’t know any better. Either way, you need to be respectful and polite when negotiating. This is not the time to get upset, and it’s not the time to let your emotions get the best of you. You need to be professional, understanding and courteous at all times during negotiations.
Be Flexible When Negotiating Contract
Being flexible during negotiations is an important skill to have. It may seem silly, but it’s a skill that will come in handy down the road. And, in the contract negotiations process, it is one of the most important skills to have. Having flexibility in the contract negotiations process will help you come out with a better deal for yourself.
Demonstrate How You’ll Deliver Value
Another useful negotiation negotiating tip that contractors can use is demonstration how they’ll deliver value. When you’re preparing to negotiate, you want to make sure that you’re showing your client how you’ll deliver value. This doesn’t necessarily mean that you have to deliver your contract scope and objectives, but it does mean that you have to show that you know how to deliver value to your client. You do this by showing that you know what your client needs and that you can meet those needs.
Don’t Just Say You’ll Do It; Prove It With Evidence
Another negotiation negotiating tip that contractors can use is don’t just say you will do something. Prove it with evidence. When you’re getting ready to negotiate with your client, you want to make sure that they know that you understand that you don’t just say you’ll do things. You, instead, prove it with evidence. When you’re preparing to negotiate, you want to make sure that you’re showing your client how you’re going to do things. You want to be ready to show them your work and demonstrate that you know how to get things done. You can do this by showing them samples of your work and how you’ve done things in the past. And, you can also show them how you’ve worked with other clients in the past.
Always Ask For clarification and confirm your understanding
When you’re getting ready to negotiate, you can use another negotiation negotiating tip by asking for clarification and confirming your understanding. When it comes to negotiations, you want to make sure that you’re asking for clarification and confirming your understanding with your client. This means that you’re asking your client questions and asking them what they need. And, you want to make sure that you’re asking them what they need. This will help you understand what your client wants from you and it will make you more knowledgeable about the work that you’re doing.
Ask for Final Paperwork Before Signing Any Contracts
If you’re going into the negotiation process with a certain price range in mind, or if you’ve done a lot of research on a job, then you should bring a price range to the negotiation table. If not, don’t be surprised when the client asks you to lower your price or make other concessions. Even if you’ve done a lot of research, you have to realize that the client may be willing to drop their price a little if they like the work that you’ve done so far. This is especially true if they like your personality when they meet you in person. If you’re going into negotiations with a price range in mind, then you’ve got a better chance of getting what you want. If you’re not bringing a price range to the negotiation table, then you’ve got a greater chance of going back to square one.
Conclusion
Negotiating contracts can be nerve-wracking, especially if you’ve never negotiated before. However, there are some negotiating negotiating tips that contractors can use to make negotiations go more smoothly. These negotiating negotiating tips will make contractors more knowledgeable in their work and more capable of meeting the needs of their clients.
