We’ve negotiated hundreds of contracts, some have gone well and some have gone, well, not so well. But after all of this experience we’ve managed to drill down on a solid list of sales negotiation top tips that we wanted to share with you. These tips are listed out for B2B software sales but they will help any small to medium business in their sales contract negotiations. Negotiating contracts can often be a complex and time-consuming process for startups. As you’re often the smaller company trying to close a deal you don’t generally have much clout when it comes to demanding contract changes or clauses that would be good for you.
The most common challenges you’ll face range from extended sales cycles to getting the essential clauses you have to have penciled in and all the way down to managing legal teams efficiently. However, with a bunch of experience and a long list of successes in the startups world we’ll be able to give you some of the best sales negotiation top tips to help navigating tough conversations with customers that just don’t want to budge. Let’s jump into the top ten tips to master sales negotiations with Contract Sent.
1. Start with a Clear Framework
Establish a clear and comprehensive framework before diving into negotiations. This means that your team has a game plan for the whole contracting process. Contracting starts well before a customer has even seen your master service agreement or terms and conditions.
This is because before they see it your sales team need to be getting an understanding of whether or not the person they are speaking to is the person that will sign off, whether or not there is a legal team that will get involved. How constrained is that legal team on what they can accept and what they can’t. Getting this information early will allow your sales team to properly account for the time that the deal will spend in procurement as well as start creating the proper connections with the people that need to be aware of your product and it’s use case.
This preparation should also include the sales person communicating to the legal team. Internally the sales person should be letting the legal team know what version of your contract template will be sent to the customer and what the customers use case is so the legal team is across what’s coming down their pipeline.
From there your contract negotiations should be treated like any other part of your sales pipeline. With Contract Sent’s dashboard, gain an instant overview of ongoing negotiations, including their current stage and the individuals managing them. This feature ensures transparency, allowing you to set the tone for the negotiation process.
2. Utilize the Power of Data
Leverage real-time data on contract metrics with a dedicated dashboard for you contract negotiations. Just like your sales pipeline you should be able to understand the progress, approval statuses, and overall performance to make informed decisions. This valuable insight is crucial for steering negotiations in the right direction.
The more data you can get organized and available at a glance the more you can make decisions at end of month or end of quarter as to where you should position your team to be closing deals in the fading hours of the last days of the period. Gotta hit those targets!
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3. Prioritize Key Contract Clauses
Identify and prioritize important contract clauses when you are negotiating. Contract Sent allows your legal team to pull out these details with its contract tracking feature. Ensure that crucial elements are given the attention they deserve, minimizing the risk of oversights in the negotiation process.
4. Version Tracking for Precision
Keep track of contract versions effortlessly with Contract Sent’s robust version tracking feature. Navigate through different iterations of contracts with precision, ensuring that no change between your versions drops off the radar. This level of accuracy is vital for maintaining contractual integrity and compliance.
5. Optimize Contract Management with Kanban Board
Efficient contract management requires a strategic approach. Contract Sent’s Kanban board simplifies the process, enabling seamless management of contract stages. This visual tool fosters collaboration and ensures everyone involved is on the same page, reducing the likelihood of delays and oversights.
6. Gain Insights with Advanced Contract Comparison Tool
In the intricate world of legal negotiations, nuances matter. Contract Sent’s advanced contract comparison tool simplifies this process, allowing you to identify modifications effortlessly. This feature not only saves time but also ensures that contracts align seamlessly with agreed-upon terms.
7. Streamline Legal Workload with Task Management
Efficient task management is imperative, especially when deadlines are looming. Contract Sent’s task management system assists legal teams in organizing workloads and prioritizing tasks based on urgency. Enhance productivity and ensure alignment with broader business objectives.
8. Empower Senior Leaders with Progress Overviews
Senior leaders often lack a comprehensive overview of legal negotiations. With Contract Sent, empower leaders, including founders, heads of sales, and finance, with insights into negotiation progress. This ensures they can actively participate and guide the process effectively.
9. One of The Best Sales Negotiation Top Tips
Reviewing contract redlines can be time-consuming. Contract Sent minimizes this burden by providing a user-friendly interface and easy access to contract details. Say goodbye to cumbersome folder systems and welcome a simplified retrieval process.
10. Break Free from PDF Traps
Post-signature, critical contract information often remains trapped in lengthy PDFs. Contract Sent gets this information pulled out of contracts and allows you to easily search for it. This provides startups with an easily accessible contract data repository. This ensures that the information is not only easier to access but also simpler to find.
Mastering sales negotiations is pivotal for the success of B2B software startups. Contract Sent, tailored for small to medium-sized tech startups, offers a comprehensive suite of features to streamline the negotiation process. By incorporating these sales negotiation top tips, startups can leverage Contract Sent to enhance efficiency, reduce negotiation time, and foster sustainable growth. Embrace the future of sales negotiations with Contract Sent and elevate your startup to new heights.
