Topic: How to Effectively Negotiate With Investors

When your business has no revenue and you have very little negotiating leverage beyond the power of your business idea, the traditional rules of negotiation just don't apply. can someone offer some tips for the entrepreneur who's faced with the prospect of negotiating with employees, investors and suppliers during the startup stage?

Re: How to Effectively Negotiate With Investors

Remain Enthusiastic over your narcissistic views.
Fill free to express yourself. Express yourself more about the love of your business instead of yourself. You will come across as being egotistical and that is a big turn off to investors. They want to know your passions for life is your business that they are investing. Having a highly inflated ego will ruin your chances of closing the deal every time. It's not about your high IQ it's about your views about the present day world and how you can change it through your passion driven business. Remain humble and passionate for your business success.

Are you open-minded and teachable?
Remain in a place to where you are open to a suggestion. Stay in a place where you are willing to take instruction with out the appearance of being a pushover. You have to remember that investors are just as much human as you and I and they have egos as well. They want to know that you are interested in what they have to say and that you will take heed to their advice. If you need their advice ask, and if you need help let them know. Don't make the mistake of think of them as just your little pot of gold. They can respect the fact that you are honest and open to their advice because they know that most entrepreneurs execrate structure and bureaucracy. You will then standout from the rest.

Radiate your composure.
We have all heard of this saying, "Loose lips sinks ships, the looser the lips the bigger the ships". Here it holds true. Investors are looking for people that can maintain composure under pressure. Growing businesses often endure turmoil and investors want to know if you have the emotional strength to handle the pressure during crunchtime. Being able to recite management techniques in your sleep is very impressive but they are more impressed with your ability to think clearly under pressure.

Your passion for the business comes first.
People have their different reasons as to why they start businesses. Some it's more ego than anything else. Maybe as a kid they had nothing and by starting a business it make them feel superior and in control. Control freaks often start businesses to quench the yearning of wanting to be the boss. Make sure you keep these reasons to yourself. The investors want to know that over all your emotional voids you put the business first.

Re: How to Effectively Negotiate With Investors

Remain Enthusiastic over your narcissistic views.
Are you open-minded and teachable?
Radiate your composure.
and
Your passion for the business comes first.

These are great tips that I would really keep in mind when negotiating.

Re: How to Effectively Negotiate With Investors

Only experienced people can negotiate effectively. Debt settlement companies have good relationships with creditors and financial institutions. So, they can negotiate better.