Lessons We’ve Learned From Years of Managing Contracts

1. You must actively manage your deals and relationships. Keep in touch with your contacts; make sure contracts are up-to-date. You never want a client to bring it to your attention that a contract has expired.

2. Share the lessons you learned with each deal. Remember why deals went sour or why they succeeded, then share the love with others … perhaps they’ve learned lessons that you’ve yet to stumble upon.

3. Use a process. This way you’ll never miss anything you need to cover. Whether you want it laid out in a mind map or a thorough checklist, a process is the framework of a successful negotiation.

4. Know the essence of what you want when you do your deals. Understand the essence of your goals. For example, we might have a goal of not wanting to have exclusivity in the agreement. The essence of this goal is flexibility. Understanding this creates bigger boundaries for creativity for both parties. Understanding that you might be okay with a very narrow and limited exclusivity (if it gives the other side more incentive to market your service) still gives you flexibility.

5. The value of your business is the sum total of its deals. Make good deals, have a good business. Enough said.

What have you learned from your time managing contracts? Are there any learned lessons we should add onto our list?

[Photo from this website]


Liv @ Choosing Beauty said...

Love #4 - the way thinking about the essence of what you want expands what's possible but doesn't compromise your goals. Good stuff.