Tuesday, July 26, 2011

More on negotiation and interest

This is a great article from a Venture Capitalist on how to approach negotiations.

If you hire someone to be your agent, it starts with knowing what your agent interested in, and knowing where it conflicts with your interest.

For example, consider a realtor, you need to know where his/her interest is not aligned with yours. Most realtors get 3% of the sale price. If it looks like the deal is going to be $300K but you want $320K, they will think about how much time it's going to take them to get that extra $600. And it might not be worth an extra month to them. So they might want to hurry it up.

That is a good place to intervene. If you can wait, time endurance is powerful.

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