Where is the best place to negotiate a deal to buy or sell a business?
Find out the three places to negotiate a deal to buy or sell a business in this brief video by Jonathan Jay, founder of The Dealmaker’s Academy.
- The two places you should NEVER negotiate a deal to buy or sell a business
- Why choosing a location based near the business is advantageous
- The benefit of the other party coming to your premises for the negotiation
Prefer to read this? Here’s the transcript:
Hi this is Jonathan Jay from the Dealmaker’s Academy.
People ask me all the time, when you’re negotiating a deal, Jonathan, where do you do it?
So, there are three places to negotiate.
By the way, one place never to do it is on the phone, or by email;
never negotiate using the phone or by email, you do it face-to-face.
But there’s three places face-to-face that you can do this.
You can do this in a location of your choice, so maybe your office.
You can do it in a location of their choice, so you could do it at their office.
Or you could do it in a neutral place, like in a hotel lobby, hotel foyer, and I suggest that the neutral place is a great place to start, simply because, if the hotel is close to the seller’s location, if that meeting goes well, then you can whip round the corner to the seller’s office and just see the stuff and get a feel for the atmosphere of the business.
Now there are advantages to someone coming to your place, to your office.
Maybe they feel a little bit less comfortable, so you might have a slight emotional upper hand there, or you can actually control the environment.
You can know where everyone’s going to sit, and you can get into the position so that you and your colleagues are there to support you.
Or, if you do it in their office, maybe they feel more relaxed and they feel more comfortable, but you are slightly at a disadvantage because they control the situation.
So big tip, do it in a neutral location close to the seller’s office.
For the next tip from the Dealmaker’s Academy, hit the subscribe button.
I’ll see you next time.