As I am patiently waiting for deals to finalize, I continue to be positive and optimist on the development of this project. The real culprit in many failures is sometimes the lack of patience, and we have discussed this topic on several occasions. Waiting, as was said last week is part of the adventure and it is a great time to do clean up and focus on new business. While deals may take a few days to materialize, other deals will take months to do so, and you need to make sure you are ready, willing and able to take them once ready. This requires a lot of precise planning and an unmistakable knack for the dramatic.
As far as deals go, when you smell a deal is coming close to closing, you have to make sure you can sustain the positive and negative consequences of the completion of the deal. Whether you are getting a new product line or if you are closing out one, this will require communication to partners, employees, customers, vendors and in some cases even competitors.
Take for example if you are representing line A, which is an established line of widgets. These widgets are known in a regional part of the country or state. You then decide that you want to bring in a line which competes with widgets as well, but it is not their primary business. There has to be a point in time, where you disclose to the widget manufacturer that you are working with the other manufacturer. If this manufacturer has a problem with you carrying that line, he will be sure to tell you, but you have to let them know. It may also be in a contract somewhere…
Maybe there is a situation where when you close a deal, you will be much more efficient, but your headcount will be dramatically reduced as a result of this new alliance. Well the most respectful thing is to let people know, with plenty of time that deal might be happening and that it would be best if they started looking for other opportunities as they will not be part of the future plans. It might not be a popular move or something that you take joy in doing, but it still has to be done and if you respect the people that you work with, it better be done with grace and sensitivity. People don’t want this type of news, but they would rather hear it in a sincere and truthful way, instead of a profit based justification in a memo
Whatever you choose to do when finalizing deals, think that that is the end of the negotiation and the beginning of life with a new partner. Many parties will be affected, for good or bad, just make sure never to lose your cool and footing. Remember that the life of an entrepreneur is filled with ups and downs, but emotions have to be kept at ground level always.
Keep calm and stay humble.
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