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A bargain made after a good negotiation is more likely to get completed than one where the meeting has been dominated by one strong side. When this occurs the weaker side reflects and realises how inadequately they prepared for the negotiation. They know it's a bad deal for them and back out wasting everyone's time and effort, a situation that could have been avoided with the right preparation.
Venue
'Your place or mine?' is not the right question when arranging a negotiating meeting. By convention, negotiating the deal is done on neutral ground and there are good reasons for this. The negotiations can be lengthy and complex. Meeting in a conference facility or hotel allows everyone to concentrate on the negotiating. There are no phones or staff with urgent messages to disrupt or cause minds to wander. How many people attend the negotiation is also a factor. The buyer might bring two other directors, his advisor/agent, an accountant and a financial backer. Seven people and that is just one side of the negotiating table. Conducting such a large and important meeting within your business can be disruptive and impractical. The meeting may be confidential but curious staff will soon speculate about why so many people are in the building. Another benefit of selecting a neutral location is that neither side has an advantage because they are playing at home.
The venue needs to be large enough, comfortable and with seating that allows the participants to take part as equals. Sitting around a boardroom table is a good option. Refreshments should be available and adequate time allocated by all sides to complete the negotiations. Strangely, custom is that the seller usually picks up the bill for the meeting room.
During the negotiation
It is a good strategy to take control of the meeting from the start. You can do this by beginning the discussion with a short history of contact so far and stating the objectives of today's meeting. By describing the reason for the meeting, simply and in mutually beneficial terms, you begin to build forward momentum. Both sides understand why they are there and the brief history is a reminder that everyone has already invested time in the process. Today's negotiation is the next logical step.
Use the 'we' word
Use the 'we' word to emphasise that both sides are working towards the same outcome. Say that you are confident that 'we' can strike a deal and ask the other-side for their view. Listen carefully to their response and make sure you understand what is being said.