30 of the Best Questions to Ask in Any Negotiation
Introduction
Asking the right questions is one of the most important parts of any successful negotiation – next to preparation. Great questions drive the conversation, uncover needs and reveal hidden interests. The quality of your questions determines the quality of the information you gather, the solutions you co-create, and ultimately, the agreements you reach. This is why we wrote this article ’40 of the Best Questions to Ask in Any Negotiation’.
Think about it, when you are communicating, there is so much hidden value that you are able to unlock with your questions.
In this article we dive into the most effective questions to ask in any negotiation and frankly in any interaction. I like to refer to these questions as High Quality Questions. We focus on the Rules for Asking Great Questions and list “How” “What” and “Why” questions, as well as essential phrases that every negotiator should have in their toolkit. This will guide you through discussions, resolve disagreements, and reach meaningful outcomes.
What We Will Cover
In this article, we will explore the importance of asking high-quality questions in negotiations. You’ll learn:
- Four key principles for framing your questions effectively.
- The power of “How,” “What,” and “Why” questions to uncover needs and hidden interests.
- Practical phrases and active listening strategies that will transform your negotiation approach.
- A set of 30 questions to guide your discussions and reach better outcomes.
The Rules for Asking Great Questions
Before diving into the specific types of questions you should use in negotiations, it’s important to pause and understand why the quality matters so much. Asking great questions is not just about curiosity – it’s about strategy. High-quality questions are tools that unlock insights, foster collaboration, and pave the way for creative solutions.
Many negotiations fail not because of a lack of preparation but because one side fails to ask the right questions or listens poorly to the answers. By mastering the way you ask questions, you show confidence, demonstrate that you value the other person’s perspective, and gain access to critical information that can tip the scales in your favor.
However, asking effective questions requires discipline. It’s not just about what you ask but how you ask. To guide you, we focus on the four key principles to keep in mind.
Ask Open Questions – Avoid ‘Yes’ or ‘No’ Questions
Open-ended questions are one of the most powerful tools in a negotiator’s toolkit. Questions that can be answered with a simple “yes” or “no” tend to shut down conversations rather than open them up. For example:
- Instead of asking, “Do you agree with this price?” or “Did you have a nice holiday” etc
- Try, “What are your thoughts on this pricing?” or “Tell Me About Your Holiday“.
The second approach encourages the other party to elaborate, giving you valuable insights into their reasoning, concerns, or hesitations. Open-ended questions invite dialogue, uncover motivations, and often reveal opportunities to find common ground.
When you ask open-ended questions, you position yourself as someone genuinely interested in understanding the other side, which builds trust – a crucial element of any negotiation.
See this great article “Asking Open-Ended Questions Increases Personal Gains in Negotiations” from Matteo Di Stasi, Alison Wood Brooks, and Jordi Quoidbach on this subject.
W.A.I.(S.)T. – Why Am I (Still) Talking?
This principle is simple yet often overlooked: ask your question, then stop talking. Silence may feel uncomfortable, but it’s one of the most effective tools a negotiator can use. Many people sabotage their own questions by filling the silence with explanations or, worse, answering the question themselves.
For example:
- Asking, “How does this align with your goals?” is a great. However, if you then immediately add for example, “I mean, I assume it does not fully align, but we can discuss…?” undermines the power of the question.
- During contract negotiations you might ask: “Does this new wording in Art X work for you?” and then immediately filling the silence with assumptions like, “I assume it’s probably not fully aligned with your proposed wording, but I am sure we can work something out….” would again not be advised. Ask your question and wait for your answer. Wait and allow the other side to respond. Their answer might surprise you, such as: “Actually, the wording is fine, except for this one word. Would this alternative work for you?”
By think about the concept “W.A.I.S.T. – Why Am I Still Talking?” – you give the other party space to think, process, and provide a meaningful answer. The silence you leave can be a powerful motivator for the other person to fill it with their thoughts, which often reveals more than you might expect. Insight: by staying quiet, you avoid creating problems that don’t exist and let the real issue surface.
Land the Plane
The concept of “W.A.I.S.T.” and “Land the Plane” comes from Alexandra Carter’s book, “Ask For More – 10 Questions to Ask to Get What You Want. It’s about asking a clear, concise question and then stopping—giving the other party space to respond. Many negotiators undermine their own questions by “circling the runway,” over-explaining, or talking too much.
For example:
- Instead of asking, “How does this price fit within your budget?” and then nervously adding, “I mean, if it doesn’t work, we can look at discounts, or we can split it into payments…”
- Simply ask: “How does this price fit within your budget?”
Why does this work?
When you “land the plane,” you:
- Avoid diluting your message. Adding extra words or unnecessary suggestions often weakens the strength of your question.
- Give the other party room to think and answer. Negotiations require processing time. Silence often encourages deeper responses.
- Project confidence. A clear question followed by quiet shows that you value their input and are comfortable waiting.
Active Listening
Active listening is a very powerful tool that I learned from the Harvard Program on Negotiation, but a lot has been written about the subject. s not just about hearing words – it’s about understanding, processing, and responding thoughtfully. Effective negotiators don’t just wait for their turn to speak; they listen carefully and build their follow-up questions based on what was said.
What Is Active Listening?
As mentioned in a recent Harvard Business Review article, active listening is when you not only hear what someone is saying, but also attune to their thoughts and feelings. It turns a conversation into an active, non-competitive, two-way interaction. Robin Abrahams and Boris Groysberg from Harvard Business School describe active listening as having three aspects: cognitive, emotional, and behavioral. Here’s how they define each aspect in their article, “How to Become a Better Listener”:
- Cognitive: Paying attention to all the information, both explicit and implicit, that you are receiving from the other person, comprehending, and integrating that information
- Emotional: Staying calm and compassionate during the conversation, including managing any emotional reactions (annoyance, boredom) you might experience
- Behavioral: Conveying interest and comprehension verbally and nonverbally
For example
- If the other party says, “We’re concerned about the delivery timeline,” an active listener might follow up with, “What part of the timeline feels unrealistic to you?”
- When your counterpart mentions: “We are particularly concerned about your liability clauses so we will need to go with our standards”, instead of going into a discussion why you should your standards (or not), ask what part of the clause they are concerned about and what the reason is of the concern.
This approach achieves two things:
- It shows the other party that you are engaged and care about their perspective.
- It gives you the chance to gather more information and address their concerns directly.
Active listening also helps avoid assumptions, which are a common pitfall in negotiations. When you listen deeply and ask relevant follow-up questions, you reduce the risk of misunderstanding and strengthen the quality of the dialogue.
Why These Rules Matter
The reason we reiterate these rules is that asking great questions is both an art and a skill. It requires intentionality, focus, and practice. When you master the art of asking clear, open-ended questions and combine it with active listening, you gain a huge advantage in any negotiation.
Think of it this way: questions are like keys. Some questions unlock doors to hidden opportunities, while others keep those doors firmly shut. By avoiding closed questions, staying silent after you ask, being concise, and actively listening, you ensure that you’re asking the right questions in the right way.
These rules serve as the foundation for all the “How,” “What,” and “Why” questions we’ll explore in this article. Use them consistently, and you’ll find that your conversations become more insightful, your relationships stronger, and your outcomes more favorable.
In short: ask well, listen better, and negotiate smarter.
30 Questions to Improve Your Negotiations
1. “HOW” Questions
“How” questions are powerful because they focus on process, possibility, and solutions. They encourage the other party to think constructively and collaboratively, which can shift negotiations from conflict to cooperation.
As Chris Voss explains in Never Split the Difference, “How” questions work particularly well because they force the other party to engage with your perspective without feeling attacked. For example, asking “How am I supposed to do that?” puts the burden of providing solutions back onto the other party.
Examples of “HOW” Questions
- How am I supposed to [do that/pay this]?
- How does this violate our agreement?
- How do we know?
- How can I help make this better for us?
- How on board are the people who are not here today?
- How would you feel if…?
Further Reading:
- How to Use “How” Questions in Negotiations – YouTube explanation from Chris Voss – The Black Swan Group (Book: Never Split the Difference).
- Getting to Yes: The Art of Collaborative Negotiation – Harvard PON.
2. “WHAT” Questions
“What” questions are neutral, open-ended, and non-confrontational. They work because they invite the other party to explain themselves without feeling defensive. According to negotiation theory from Getting to Yes, “What” questions help you uncover key interests and concerns.
For example:
- “What challenges do you see with this proposal?” encourages the other party to express their concerns openly, allowing you to address them proactively.
- “What is your biggest concern?” cuts through surface-level objections and gets to the root of the problem.
“What” questions also create opportunities for exploration and creativity, two elements that experts agree are critical in creating value during negotiations.
More Examples of “WHAT” Questions
- What else would you like us to know?
- What is the reason…?
- What if we tried…?
- What are your views on…?
- What challenges do you see with…?
- What is your biggest concern?
- What brought us into this situation?
Further Reading:
- Getting to Yes: The Power of Questions – Harvard Program on Negotiation.
- How to Ask Powerful Questions in Negotiation – Harvard Business Review.
3. “WHY” Questions
“Why” questions are excellent for uncovering motivations, values, and hidden interests, but they must be used carefully. While they can dig deeper into someone’s reasoning, poorly phrased “Why” questions may come across as accusatory or confrontational.
The key to using “Why” questions effectively, as emphasized in negotiation literature, is tone and intent. According to Fisher and Ury in Getting to Yes, asking “Why is this important to you?” encourages the other party to share their underlying interests without feeling attacked.
Additionally, “Why” questions help you test assumptions and challenge objections diplomatically. For example, “Why would this solution not work for you?” invites constructive feedback instead of resistance.
As mentioned by Chris Voss, you should avoid asking too many “Why” questions and use other high quality questions as ‘Why’ questions could have a negative connotation.
Examples of “WHY” Questions
- Why is this so important for you?
- Why is this unacceptable to you?
- Why should we consider…?
- Why should we delay an answer on this?
- Why would this solution not work for you?
- Why is this part of the article crucial for you?
Further Reading:
- See this video “The Secret Way To Use “Why” & “No” in Your Next Negotiation | Chris Voss”.
- The Psychology of ‘Why’ Questions in Negotiation – Psychology Today.
4. Great Phrases You Can Use
Also part of asking high quality questions is using effective phrases that create an atmosphere of collaboration and understanding. These phrases are excellent for encouraging dialogue, clarifying positions, and keeping the negotiation constructive.
Examples of Great Phrases
- Is there anything I am missing…?
- Have you given up on this…?
- Is it okay if…?
- I am curious…
- It sounds like…
- Tell me about…
- OK, help me understand…
These phrases demonstrate humility, curiosity, and a desire to understand, which are key elements of building trust and achieving better results.
Conclusion
Asking high-quality questions is a game-changer in negotiations. By focusing on “How,” “What,” and “Why” questions, and complementing them with great phrases, you can steer conversations toward productive outcomes. Whether you’re addressing objections, seeking clarification, or exploring solutions, it allows you to gain insights, uncover motivations, and move closer to a successful agreement.
Also see the importance of great questions in this article ‘The Surprising Power of Questions’..
About AMST Legal
At AMST Legal, we provide negotiation and contract advice to help businesses achieve better results. Contact us at lowa@amstlegal.com or book a meeting here for help with a negotiation or for (team or individual) training to become a better negotiator.
The Best Way to Efficient Contract Redlining in Negotiations
Lately, there has been a discussions about the best way to redline a contract during negotiations. When redlining a contract, should you simply send an amended redlined Word document and move on? Or should you adopt a more elaborate 6-step plan (including a pdf compare), as highlighted in various legal circles? When we talk about contract redlining, we mean ‘𝘵𝘩𝘦 𝘱𝘳𝘰𝘤𝘦𝘴𝘴 𝘰𝘧 𝘦𝘥𝘪𝘵𝘪𝘯𝘨 𝘢 𝘤𝘰𝘯𝘵𝘳𝘢𝘤𝘵 𝘸𝘩𝘦𝘯 𝘯𝘦𝘨𝘰𝘵𝘪𝘢𝘵𝘪𝘯𝘨’.
In this article ‘The Ultimate Guide to Efficient Contract Redlining in Negotiations’, you will find an in-depth look at how each contract redlining approach works.
I will also explain why we at AMST Legal believe continuing in one evolving redlined document (with occasional compares) is usually the most efficient, transparent and client-friendly method. We will also explore Nada Alnajafi’s (writer of the book Contract Redlining Etiquette) 10-step process so you can see precisely how an experienced contracts professional handles redlining from start to finish.
1. What We Will Cover
- Why the Debate? The origins of the 6-step approach vs. a single redlined doc
- Key Principles: Efficiency, transparency, and clarity for all parties
- When (and How) to Use Compares: Ensuring every edit is captured accurately
- When (and Why) to Avoid Extra PDFs: Why separate PDFs often add clutter
- Nada Alnajafi’s 10 Steps (Quoted in Full): A data-backed method for efficient redlining
- Final Takeaways: The balanced approach that works for most teams
2. Understanding the Debate
The Six-Step Approach vs. a Single Redline Document
As mentioned in my post on Linkedin on this subject, we noticed that in some legal circles, lawyers have embraced a 6-step process to handle contract edits. After they receive the new draft from the counterparty, they take the following steps:
- Accept all changes in the document you receive from the counterparty you are negotiating with (your new “clean” version).
- Compare old vs. this new draft to ensure that all changes compared to the previous version are visible.
- Amend the new “clean” version (can be amended by one or multiple people in the same organization).
- When finalized with adding comments & amendments, Compare again to show new changes to counterparty and to make the final check.
- Save the fresh comparison as a PDF.
- Send both the new “clean” doc (as amended) + the compare PDF.
For the avoidance of doubt, at AMST Legal we do not recommend this approach, except where agreed or desired by your client, customer or counterparty.
Advocates of this 6 step approach argue it helps manage large, complex deals – especially when multiple stakeholders are involved – by producing a neat record of only the latest changes.
Critics see it as time-consuming overkill that can inflate billable hours, make negotiations overly complicated and confuse counterparties who want to see comments and explanations in one place.
We have found that most:
- Critics are legal professionals involved in negotiating commercial contracts like NDA’s, MSA’s, sales, procurement and partner agreements.
- Advocates are lawyers in Big Law (large law firms) that are involved in finance and corporate transactions.
In general, most legal professionals seem to prefer to stick with one progressive redlined document, continuously layering edits and resolving comments as issues are settled. This single-document approach is often more efficient for commercial & smaller deals or simpler contracts, and it preserves the full negotiation trail.
Origins of the 6-Step Approach
The more traditional “clean + PDF compare” method likely emerged when Microsoft Word’s Track Changes was buggy or unreliable in large documents. Many practitioners still worry about hidden edits or formatting issues – concerns that, at one time, were quite valid. Others claim that by resetting to a “clean” version each time, you reduce the clutter of multiple layers of color-coded changes and make it simpler for executives to see only newly introduced edits.
However, Word has significantly improved in comparing documents and most commercial legal professionals do not believe that separate software like Litera and Deltaview) is still necessary. Additionally, best practices between legal professionals have been developed and are widely in use that mitigate most of these issues. That’s why many in-house counsel and lean legal teams opt to remain in a single track-changed doc for efficiency.
3. Key Principles of Effective Contract Redlining
Efficiency
As also advocated by Nada Alnajafi here, in a commercial setting, it’s typically best to redline a single version of the contract. Next to adding explanatory comments, you accept or reject changes as you reach agreement, and layer any new edits into the same tracked document.
This approach:
- Reduces confusion by keeping one “source of truth.”
- Retains comments in context, showing how and why each change evolved.
- Saves time for your counterparties, who don’t have to juggle multiple files.
Transparency
Continuous redlining gives all parties a full view of the agreement’s evolution. Rather than delivering a “clean” Word doc that erases prior edits, you preserve the document’s story. This makes it easier for anyone (clients, internal teams, or external counsel) to see what has changed over time. Inline or ‘balloon’ (our preferred method) comments further ensure each party can understand the rationale behind edits.
Clarity
One of the top goals in contract negotiations should be clarity. When you present the counterparty (or internal stakeholders) with a single redlined version:
- They immediately identify recent changes.
- They can refer back to older, accepted edits if needed.
- They see important comments and open questions without having to hunt through separate documents.
- You can ask your internal stakeholders specific questions, which they can resolve in the same document.
4. When (and How) to Use Compares
Validate Your Changes Internally
Even if you prefer to continue in the same redlined doc, a document compare can still be incredibly valuable for quality control – especially in multi-stakeholder negotiations. What happens often in negotiations is that two lawyers lead the negotiation, but they ask input from various specialists like experts in data privacy, tax, data security, product, intellectual property etc.
Before circulating a “new” version externally, run a compare on your own to ensure you haven’t accidentally skipped anything or misapplied a request from the other side. This step helps catch:
- Missed revisions or hidden text changes.
- Accidental deletions or additions that no one noticed.
- Formatting or numbering issues that might cause confusion later.
Provide a Compare Alongside the Redline in Complex Deals
In more complicated deals where multiple stakeholders (e.g., finance, technical, local counsel in different jurisdictions) are editing the same draft:
- Stick to One Master Redline – Everyone tracks changes in the central Word document.
- Create a Compare Version (at Key Milestones) – If your CFO, the counterpart or external counsel only wants to see what’s new since the last milestone, you can provide a compare word file or PDF (as a matter of exception) in addition to the main redline.
Tip: Communicate why you take this extra step.
5. When (and Why) to Use or Avoid Extra PDFs
At first glance, PDF redlines can seem like old-school overkill. Why not stick to Word track changes? But in certain cases, like when working with large law firms or complex finance and corporate deals, PDFs are not only accepted but often expected.
Let’s dive into the “mobile-viewing” and “Locked Compare Can’t Be Accidentally Edited” rationale driving PDFs.
The Mobile-Viewing Argument
Some lawyers say they send PDFs because executives often review contracts on smartphones – and a PDF might be easier to read on mobile. While there’s some truth to that, it usually doesn’t justify an entire multi-step PDF approach for each iteration. Instead:
- Ask your client or opposing counsel if they truly need a PDF on every turn.
- If necessary, just export your tracked Word doc to PDF, maintaining comments and highlights.
A Locked Compare Can’t Be Accidentally Edited
Another reason some teams stick to PDFs is that a PDF compare can’t be inadvertently altered, unlike a Word-based compare that might be changed by mistake. To be honest, I have seen this happen more than once in a large negotiation with many parties involved.
This “locked” snapshot can be reassuring for large finance or corporate transactions—especially when multiple parties are scrutinizing each version. However, even this benefit doesn’t mean you need a separate PDF for every round of edits.
In most commercial negotiations, a single redlined Word doc plus occasional internal compares is enough. Extra PDF compares can be saved for big milestones or final checks.
Potential Downsides of Separate PDFs
- Loss of Comments: Often, inline comments are not as interactive in PDFs. They do not work as well as comments in Word.
- Extra Steps: You spend more time saving, comparing, and formatting multiple files.
- Reduced Collaboration: PDFs limit the recipient’s ability to directly edit or reply in real time.
- Confusion: especially business people (sales, executives, etc.) might be confused why separate documents are sent and questions arise which document to review or amend.
6. How Legal Tech and AI Can Simplify Redlining
A straightforward way to tackle many redlining headaches is to turn to Legal Tech – particularly Contract Lifecycle Management (CLM) platforms and AI-powered solutions. See this article from Krysta Johnson on this subject for example. Below is a quick look at how these tools can streamline your negotiation process:
Key Benefits of Modern Legal Tech
- Centralized Dashboard
Keep contracts, edits, and comments in one place. No more searching for scattered files or wondering which version is current. - Automated Workflows
Easily ping the right teammates or approvers when it’s their turn. Once they’re done, their feedback is automatically saved and organized, cutting down on email clutter. - Smart Document Comparison
AI can quickly scan and highlight every edit between drafts, minimizing the risk of missing hidden changes or problematic clauses. This frees you to focus on actual deal issues rather than manual proofreading.
Bottom Line: By integrating CLM and AI into your redlining workflow, you’ll reduce manual effort, eliminate confusion, and speed up contract negotiations. This brings the team together to focus on what truly matters: reaching a solid, mutually beneficial agreement.
7. Nada Alnajafi’s 10 Steps for Transparent, Efficient Redlining
To illustrate how a seasoned contracts professional redlines documents in a way that promotes transparency, efficiency, and collaboration, Nada Alnajafi (Founder of Contract Nerds and author of Contract Redlining Etiquette ) has identified 10 key steps in this LinkedIn post. She emphasizes that this framework is backed by real data from thousands of contract professionals, not just personal preference:
Key Points
- Start in Word: Open the counterparty’s redlines in Microsoft Word to keep everything in one editable format.
- Get the Big Picture: Skim the draft from start to finish for an overview of the level of disagreement and the other side’s negotiation style.
- Dive Deeper: Review the document thoroughly to identify areas needing attention, extra discussion, or stakeholder input.
- Accept & Resolve: Accept any edits you agree with and resolve closed comment threads to keep the document uncluttered.
- Reject & Propose: For edits you disagree with, reject the changes, propose new language, and add comments explaining your stance.
- Ask Questions: Seek clarification for any unclear edits—better to ask now than to assume incorrectly.
- Consult Stakeholders: For business or commercial changes, loop in your internal teams or relevant departments.
- Summarize Top Issues: When sending your redlines back, highlight the most critical (no more than three) items in a short cover email.
- Request a Call if Needed: If major disagreements persist or time is short, a quick conversation can resolve more than endless markup rounds.
- Verify Before Signing: Run a single doc compare of the original draft vs. the final draft to confirm no hidden changes. Doing it more than once often adds unnecessary friction—especially in an in-house environment.
Nada’s final reminder is that one thorough compare is usually enough. If you repeatedly scrub redlines or generate “clean” versions out of fear or distrust, you risk delaying the process and frustrating everyone involved. For more contract redlining efficiency tips, be sure to check out her book Contract Redlining Etiquette and follow her on LinkedIn.
8. Final Takeaways
The Balanced Approach
- Keep a Single Redline: Work in one main track-changed document, accepting or rejecting changes as deals progress.
- Add Comments: Use inline comments to clarify reasoning or ask questions; this preserves context.
- Run Your Own Compare: Internally verify major new versions against the prior version before sending.
- Consider Sending a Compare: For complicated multi-stakeholder deals, provide a separate compare doc at key milestones, but don’t make it your default for every tweak.
- Avoid Unnecessary PDFs: Unless it’s truly required or requested, do not to use the PDF-based workflow.
- Use Legal Tech & AI: If you’re dealing with many contracts or looking to scale your process, consider specialized tools that streamline workflows.
- Meet in Person: For overly complex or stalled negotiations, a face-to-face (or online) meeting often resolves issues faster than endless redlining.
Why It Matters
- Client-Focused: Clients want clarity, results, and efficiency. They do not want to pay for avoidable drafting detours.
- Reduces Errors: A single doc plus strategic compares minimizes the risk of losing track of changes.
- Saves Time: Keeping everyone focused on one version speeds up reviews and shortens negotiation cycles.
Next Steps
- We advise to move away from the complicated 6-step approach and adopt a single, continuously updated redline with occasional compares.
- For more complex deals, use a hybrid approach: keep a master redline, but generate compare outputs at critical moments in the negotiation.
- Invest in training: Ensure your team is comfortable with Word’s Track Changes, Comments, and Compare features so that everyone contributes to a smooth, transparent workflow.
9. Ready to Streamline Your Redlining?
Contract negotiation doesn’t have to be a complicated (e.g. by using multiple PDFs and “clean” Word files). By adopting a continuous redline strategy—with optional compares as needed—and communicating expectations from the start, you’ll improve transparency, reduce costly errors and keep your clients or business stakeholders happy. Whether it’s an NDA, SaaS agreement or a complex M&A transaction, focusing on one document as your “source of truth” can make all the difference.
Need help? Contact me at rreggers@amstlegal.com or read our blogs for more about efficient negotiation tactics, ways to speed up contract processes and specific contract advice (e.g. relating to NDAs and SaaS contracts). We will work with you to develop a faster, more reliable approach that benefits everyone involved in the deal – based on our 20+ years of experience, aligned with industry-proven methods.
Negotiation Skills to Focus on at the End of Year
At the end of the year, many businesses rush to finalize contracts, close important deals and meet last-minute deadlines. Having great contract negotiation skills are essential to be successful. It’s that annual push to finish the quarter & year strong before everyone disappears for well-deserved time off. This pressure often falls heavily on legal teams, procurement, sales managers and business leaders tasked with ensuring that high-priority contracts are negotiated and completed on time.
In this article ‘Discover 5 Ways to Speed Up Year-End Contract Closings’, we will explore which negotiation skills you need to succeed at the end of the year. Also see this article with more tips to prepare for the end of year rush in contract negotiations.
We will highlight four essential actions you can take right now – just days before the holidays – to effectively wrap up your end-of-year deals. We’ll also walk through key fundamentals to keep in mind throughout the year so that next holiday season feels less chaotic. No matter how much experience you have, I am sure that these practical tips will help you for successful year-end deal closings.
What we will cover:
- Prioritize crucial contracts.
- Maintain transparent communication with internal and external teams.
- Foster cross-team collaboration.
- Manage deadlines effectively.
Let’s dive in.
Why the End of the Year Can Feel Overwhelming When Involved in Contract Negotiations
For many organizations, the fourth quarter (Q4) is do-or-die time. Sales targets loom, and finalizing deals before the calendar flips can make the difference between achieving annual revenue goals and falling short. Meanwhile, everyone is juggling personal holiday plans, limited workdays and company events. All of this can your timelines and add complexity to negotiations and sign-offs.
It’s important to acknowledge this heightened intensity and plan accordingly. What often appears as a mere scheduling inconvenience may result in real losses if a signature doesn’t come through before December 31st. With limited business days left in the year, how can you maximize efficiency and productivity without losing sanity?
Looking Ahead: Contract Negotiation Fundamentals for a Less Stressful End of Year
Before we get into the four actions to take this week, let’s talk briefly about the broader fundamentals. If you can keep these 4 foundational pillars in mind throughout the year, you won’t be scrambling at the last minute next time.
1. Early Preparation and Prioritization
One of the best ways to avert holiday panic is by starting your contract prioritization well before December. In contract negotiations, if you treat every contract as urgent in the final weeks of the year, you will get stuck. Begin categorizing contracts by priority as early as Q3, identifying which are mission-critical and which can be safely pushed to the new year.
Actionable Steps for Better Preparation
- Create a rolling calendar: Outline all major deals and renewal deadlines. Update it monthly to keep everyone informed.
- Rank your deals: Use clear metrics (like projected revenue, strategic importance, or executive sponsorship) to determine which contracts are must-close.
- Build buffer time: Aim to finalize deals a week or two before the official holiday break. If last-minute changes occur, you’ll have a cushion.
2. Communication & Cooperation
As we discussed in this previous article, improved cooperation and communication will speed up legal processes and contract negotiations. Encourage an environment of open dialogue and teamwork from the start. Legal, sales, finance and procurement should be in sync on timelines and requirements.
Throughout the year, there should be trainings and teams should have frequent check-ins to help keep everyone aligned on strategies, improvements and cross departmental input. When the end of the year crunch time arrives, you’ll already have established rapport and processes to move swiftly.
Actionable Steps for Ongoing Cooperation
- Weekly or bi-weekly alignment calls: Keep relevant departments in the loop on contract statuses and expectations.
- Transparent pipeline reporting: Make sure sales forecasts are accessible to the legal team, so there’s no surprise rush in December.
- Encourage feedback loops: If an issue arises, escalate it early rather than waiting until the last few days.
- Training: departments should give training to each other during the year understand products, processes and priorities.
3. Standard Templates
As we have explained in previous blogs, setting up standard templates and clause libraries for routine contracts can save time and makes all the difference. If everyone works from the same template and standard pre-approved clauses, contract negotiations focus on key points rather than re-inventing the wheel every time.
Actionable Steps to Streamline with Templates
- Audit current contracts: Identify recurring clauses or sections across multiple deals.
- Implement version control: Store templates in a central, cloud-based location.
- Train stakeholders: Give internal teams a brief tutorial on how to use and customize the templates for common scenarios.
4. Implementation of Legal Tech & AI
Investing in Contract Management or Contract Lifecycle Management (“CLM“) and AI tools or other legal technology drastically speeds up contract negotiations, redlining and approvals.
What I particularly like is – if you have the right tool – that all contracts are handled centrally and are not scattered in the company. These tools can also automatically flag unusual terms, propose alternative wording, track changes and integrate e-signatures, reducing the manual workload.
Actionable Steps to Embrace Legal Tech
- Start small: Pilot a CLM tool on a specific contract type or business unit.
- Track ROI: Monitor how much time you save using automated workflows.
- Scale up: Gradually expand the tool’s usage across departments once it’s proven effective.
Pro-Tip: Implementing these fundamentals early in the year pays off when you hit the December crunch.
Four Actions to Take This Week in Your Contract Negotiations (Yes, You Still Have Time!)
Now that we’ve covered the broader, year-round strategies, let’s zoom in on the actions you can take right now to improve your contract negotiations – four days before the end-of-year holidays. It’s crunch time, but with a methodical approach, you can still cross the finish line successfully.
1. Prioritize High-Value Q4 Deals
Why it Matters:
Time is limited, so focus on the deals that actually must be negotiated and close before the holiday break. Not every contract currently on your desk is critical for year-end. Some might realistically belong to Q1 or Q2 of the coming year – postpose the contract negotiations to that time..
Key Question to Ask:
“Is this contract truly closing before the holidays, or can it wait until Q1 ’24?”
If it’s not high-priority, schedule it for a later review. Redirect your energy toward the deals that can realistically be finalized. This ensures you’re not losing energy on deals that don’t directly impact your Q4 numbers.
Action Steps
- Identify urgent deals: Compile a list of deals that must be signed by December 31st.
- Eliminate the noise: Put lower-priority contracts on the back burner until after the new year.
- Communicate priorities: Let your internal stakeholders know which contracts you’re prioritizing, so they don’t assume everything is a must-close.
Check:
- Are the contracts you’re spending the most time on truly the ones that align with your company’s Q4 goals?
- Have you clarified the timing of the contract negotiations with the sales and management teams?
2. Establish Clear Communication Channels in Contract Negotiations
Why it Matters:
Poor communication can derail even the simplest deal. With holidays looming, there’s no time for back-and-forth email delays or misunderstandings. Clarity on timing, process, and expectations keeps everyone accountable- it is part of any good contract negotiation.
Key Question to Ask:
“Do my customers and internal teams fully understand the timeline and process, or are they making assumptions?”
If everyone is on the same page, you’ll drastically reduce the risk of any last-minute surprises. Communication is especially crucial with external customers. They may have their own holiday schedules and organizational processes that can cause bottlenecks if not carefully managed.
Action Steps
- Daily touchpoints: If a deal is critical, schedule short daily check-ins (virtual or in-person) with key stakeholders.
- Transparent timeline: Document the final date to submit revisions, secure approvals, and obtain signatures. Share this timeline widely.
- Preempt obstacles: Ask your counterpart, “What could prevent us from signing this on time?” Address those issues immediately.
Check:
- Are your internal teams (legal, finance, sales) updated on each contract’s status daily?
- Do your external customers have a complete understanding of the steps needed to finalize the contract?
3. Foster Cross-Functional Team Collaboration
Why it Matters:
No complex contract closes in a silo – contract negotiations are a team sport. The legal team needs sign-offs from finance and management. Procurement might require additional approvals from leadership. Sales might need input from marketing. Silos create delays, confusion, and errors—especially when deadlines are tight.
Key Question to Ask:
“Am I getting stuck in the details that create delays, and could a quick internal phone call solve it?”
Avoid working in isolation on complicated terms. Pull in all relevant parties for a collaborative push. If something is unclear or contested, schedule a call. The final week of the quarter isn’t the time for elongated email threads. Focus your time on live contract negotiations. See our tips on these live negotiations here.
Action Steps
- Set cross-department meetings: In the last crunch, a 15-minute daily huddle can resolve issues faster than back-and-forth emails.
- Draft clear escalation paths: Decide in advance who has the authority to sign off or escalate if disagreements arise.
- Leverage technology: Real-time collaboration tools (e.g., shared contract portals, Slack channels) can provide instant updates.
Check:
- Is everyone who needs to approve or review a contract looped in early enough?
- Do you have a protocol for addressing high-level disputes or changes quickly?
4. Execute Deadline Management Rigorously
Why it Matters:
Missing a critical date or a necessary signature in the last week of Q4 can be the difference between success and failure. Year-end deadlines often come with little to no grace period. If the contract doesn’t close by December 31st, it likely moves to next year’s pipeline – impacting revenue targets and stakeholder expectations.
Key Question to Ask during Contract Negotiations:
“What are the exact steps needed for this contract to be executed by the deadline?”
List those steps—from last-minute edits to final legal approvals to e-signatures—and align your timeline with all decision-makers. Don’t forget about the logistics of traveling or out-of-office signatories. One absent signature can delay everything if not planned for.
Action Steps
- Create a master checklist: Outline every step required for each contract (legal review, internal approvals, signature scheduling).
- Plan a few days ahead: Don’t assume you can finalize everything at the stroke of midnight on December 31st. Aim to have signatures done at least a few days before the holiday break.
- Leave room for error: Build in buffers for unexpected events like system downtime, signatory travel, or additional negotiation points.
Check:
- Has every individual with signing authority confirmed their availability before the holidays?
- Are you proactively tracking each contract’s progress against a unified timeline?
Putting It All Together: A Roadmap for the Final Week of Negotiations
With the holiday clock ticking, your best moves are laser-focused prioritization, great communication between teams , collaborative teamwork and tight deadline management.
By combining these actions over the next few days, you’ll massively improve your odds of wrapping up critical deals. Remember to keep an eye on the fundamentals – early preparation, open communication, standardized templates and legal tech—so that next year, your holiday season won’t feel like a marathon sprint.
Bonus Tips for a Smoother Year-End Experience
Even if you have just a few days left before the break, here are some bonus strategies to make your life a bit easier:
- Use E-Signature Solutions: If you haven’t already, adopt an e-signature platform. Paper-based signatures in the final days can lead to shipping delays or the dreaded “I’m on vacation, I’ll sign when I’m back” scenario.
- Send (Early!) Friendly Reminders: People get distracted this time of year. A polite nudge via email or chat can keep deals top of mind.
- Confirm Receipt: After sending over final documents, confirm your counterparty has received them and is working on them. Sometimes emails get lost or stuck in spam.
- Celebrate Small Wins: For every contract closed, give your team credit. Positive reinforcement keeps morale up as you sprint toward the finish line.
- Prepare for Post-Holiday Catch-Up: Not every deal will close on time, no matter your best efforts. Have a plan ready for picking up negotiations in January without losing momentum.
Conclusion: Good Luck Closing Off Your Contracts Before the Holidays!
End-of-year contracting is not easy and it will be messy. Hopefully these tips will help you – which I pulled together in the past 20 years – trying to minimize the chaos at the end of each year. By prioritizing deals, clearly communicating, collaborating effectively and managing deadlines meticulously, your deals will close easier and with less stress.
Remember: The core pillars we discussed at the start – early preparation, cross-functional communication, standard templates & procedures and use of legal tech form the bedrock of a less stressful contract negotiation and management process. Implement them gradually, and you will notice a smoother Q4 (and end of Q2) next year. For even more detailed advice, be sure to check out our comprehensive guide here.
Good luck, and may your holiday season be filled with both successful deals and well-earned relaxation!
Need help?
For help with your contract negotiations and related processes, reach out to us via lowa@amstlegal.com or book an appointment with Robby Reggers here.
7 Tips How to Improve Live Contract Negotiation (&Examples)
Introduction
Long, drawn-out live contract negotiations where you don’t reach a result can drain your time, energy and patience. Whether you’re finalizing terms with a new SaaS vendor or ironing out details with a new customer, the process often feels slow and frustrating. But it doesn’t have to be this way.
By applying a few straightforward communication and contract negotiation strategies, you can streamline your live (online or in-person) negotiations, keep everyone focused and reach fair agreements faster. In this article ‘7 Tips How to Improve Live Contract Negotiation (& Examples)’, we will cover:
- seven tips to help you run more efficient live negotiations,
- then, answer five common questions that many small and medium-sized businesses (SMEs) have asked us; and
- finally, we’ll walk through a brief scenario showing how these tactics work in a real-world SaaS context.
7 Tips for More Effective, Streamlined Live Negotiations
1. Prepare in Advance
Preparation might sound obvious, but it’s often overlooked. Before you jump on a call, know exactly what you want—and what you can live without. Gather all the details that matter: pricing tiers, subscription lengths, service-level agreements (SLAs), data security requirements, and any key terms unique to your business model.
For instance, if you’re negotiating a SaaS contract, determine your must-have SLA features (like 99.9% uptime or a dedicated support channel) and understand how much you’re willing to pay for them. Knowing these details ensures you’re not scrambling during the call. You’ll respond faster to counteroffers and will not waste time on irrelevant points. The clearer your objectives, the quicker you can confirm or reject proposals on the spot.
To prepare effectively for our live negotiations, prepare thoroughly. Review your internal needs, compare the vendor’s standard terms to industry benchmarks and decide where you can compromise. Also, anticipate common sticking points – like automatic renewal clauses or extra fees for additional users – so you’re ready to address them. Thorough preparation reduces confusion and sets the stage for a focused, productive negotiation.
Be ready for the tough questions. See the Harvard Law School Negotiation preparation checklist here.
2. Set an Agenda and Stick to It
Without a clear roadmap, negotiations can meander and waste time. A simple agenda shared in advance keeps everyone aligned. List the key issues—such as pricing structure, onboarding timeline, renewal conditions and data protection terms – and let all parties know these are the topics to be covered.
When the call starts, refer to the agenda right away. If someone drifts off-topic (“Let’s also discuss a potential partnership feature for next year…”), you can steer them back: “That’s interesting, but let’s finalize the current subscription terms first as per our agenda.”
An agenda not only saves time but also keeps the atmosphere professional and respectful. Everyone knows what to expect, which reduces unnecessary back-and-forth. With a clear roadmap, you’re less likely to get bogged down in small details that don’t affect the final outcome.
3. Use Clear, Concise Language
Complex legal or business jargon and vague language can slow negotiations down. Stick to plain, direct language whenever possible. If you encounter a technical or legal term, clarify it right away. For example, if the vendor refers to a “Indemnification Clause” or “SLA” ask them to explain: “Can you clarify what this clause means in practical terms for our liability and what exactly the SLA will entail?”
By simplifying terms, you ensure both sides understand each other. Misunderstandings often lead to follow-up calls or extra email chains to fix what could have been settled earlier. Keep it simple: “We need a 48-hour response time for support tickets” is clearer than “We request timely fulfillment in accordance with standard SLA metrics.” Clear language reduces confusion, makes it easier to achieve agreement and speeds up the entire process.
Also, don’t just refer to a contract clause, memo or whitepaper that was shared, but explain in your own words.
4. Assign Roles and Responsibilities Within Your Team
If you have several team members on your side, assign clear roles before the call. One person should lead the conversation – this is the voice who guides the agenda and addresses the main points. Another can handle real-time edits to the contract (if you’re screen-sharing or using a collaborative doc), ensuring that agreed-upon changes are captured immediately. A third team member might be a specialist in a particular subject, etc.
This division of labor prevents people from talking over one another and ensures nothing falls through the cracks. For example, while the lead negotiator discusses the price tiers with the vendor, the notetaker can record the agreed terms, and the editor can update the master document in real-time. When everyone knows their role, the conversation flows smoothly. By the end, you’ll have a clear record of what happened and fewer reasons to schedule a second call.
When you know a particular point could be sticky, ensure that you have a specialist that joins the call to show your willingness to explain and to try yo reach agreement on the spot. Before the meeting, also ask the counterparty if their specialist is able to join so they can discuss the specific subject.
5. Actively Listen, Ask Great Questions and Validate the Other Side’s Points
Negotiations aren’t just about what you say; they’re also about how well you listen. When the other side speaks, give them your full attention. Summarize their points to show you’ve understood: “Great to hear that if we agree to sign a two-year contract, we will receive a 10% discount.”
By validating their input, you build trust and minimize friction. The other side feels heard and respected, making them more open to meet you halfway. If a vendor says they can’t offer more storage at the basic tier, acknowledging their position – “I hear you. Additional storage is challenging at this price point” – can calm tensions and open the door to creative solutions.
Don’t for get the tip to say “That’s Right” when your counterpart makes a great point. Read our article about this here.
Active listening also helps you avoid going in circles. When everyone feels understood, fewer clarifications are needed later. It’s a subtle step that speeds up the process by preventing repeated explanations or misunderstandings. Also see our article ’30 of the Best Questions to Ask in Any Negotiation’ here.
6. Leverage the Right Technology
The right tools can save a lot of time in negotiations. For example screen-sharing allows both sides to view and edit the contract simultaneously. Collaborative documents or contract management platforms let you highlight text, propose changes, and record agreements as they happen. Real-time chat tools can clarify small points without derailing the conversation flow.
Let’s say you are discussing a SaaS license agreement, you can highlight the pricing clause live, increase the user count and watch the other side’s response in real-time. This eliminates the need for lengthy email follow-ups after the call. Technology also helps ensure everyone is literally “on the same page,” reducing miscommunication and speeding up finalization.
Just remember to test your tools beforehand. Technical glitches waste time and damage the negotiation’s momentum. Ensuring everything runs smoothly keeps the process moving and makes it easier to reach an agreement.
7. Know When to Take a Break
Sometimes you hit an impasse. Maybe the vendor won’t budge on a crucial data security or liability clause or you can’t agree on cancellation terms. Instead of pushing on and raising tensions, suggest a short break: “Let’s take five minutes to review these points individually. We’ll come back with fresh perspectives.”
Stepping away from the screen allows everyone to rethink their positions. When you return, both sides might be more willing to compromise. A brief pause can save you from hours of drawn-out debate. Instead of forcing a decision amid rising frustration, you come back calmer and more solution-oriented, ultimately reaching an agreement faster.
5 Common Questions (and Answers) About Live Negotiations
1. How do I handle a party that dominates the conversation?
Use your agenda to maintain structure. Politely interrupt if they wander off: “I appreciate your input. To stay on track, let’s confirm the billing cycle terms first.” If dominance persists, consider switching negotiation formats, like proposing a written redline exchange before the next call. This allows for more balanced input and prevents one-sided monologues.
2. What if I don’t understand a technical or legal term they mention?
Ask for clarification immediately: “Could you clarify what this ‘auto-renewal clause’ entails?” A moment of asking now saves you from bigger problems later. Being upfront about what you don’t know shows professionalism and ensures no hidden surprises remain after signing.
3. How do I keep everyone engaged and focused?
Start by setting a time target: “We have one hour to finalize the user limits and support terms.” Recap progress after each point: “Great, we agreed on a 12-month term at $X per month. Next, let’s finalize the onboarding schedule.” Timeboxing and summarizing key decisions keep the conversation efficient and participants engaged.
4. What if I feel pressured to accept unfavorable terms just to end the call?
Acknowledge the urgency without conceding too quickly: “I know we’re close to wrapping up, but I need a moment to confirm these terms align with our internal policies.” Suggest a brief pause or a follow-up call if needed. It’s better to take a bit more time now than sign a bad deal you’ll regret later.
5. How can I ensure the terms agreed upon are actually implemented afterward?
End the meeting by summarizing important agreed terms, who is responsible for what and the next steps. Then send a written summary email or updated contract draft immediately after. Having a document both sides can refer to prevents “he said, she said” disputes and keeps everyone accountable for their promises.
A Quick Scenario: Negotiating a SaaS Contract in Live Negotiations
Imagine you run a growing marketing agency, and you’re negotiating a SaaS contract for a new project management platform. You’ve done your homework: you know your budget, the required user count, must-have integrations (like linking to your CRM), and the level of customer support you need.
Preparation:
Before the call, you decide that you need a minimum of 30 seats at a certain monthly rate. You also need a guaranteed response time for support tickets, integration with your CRM, and a flexible cancellation clause.
Agenda:
You send the SaaS vendor a short agenda:
- Pricing and number of seats
- Support response times and escalation policies
- Integration with CRM tools
- Cancellation and renewal terms
Clear Language:
On the call, you say, “We need at least 30 seats at $X per user per month, with a guaranteed 24-hour support response time. Can you confirm that’s possible?” This straightforward request helps the vendor respond faster. They might say, “We can offer 30 seats at that rate, but our standard support time is 48 hours.”
Assigning Roles:
In your team, you’re the lead negotiator. Your colleague is ready to update the shared Google Doc with any changes. Another teammate listens and takes notes on agreed points. While you talk pricing, your colleague highlights the relevant clauses in the contract so everyone can see what’s changing.
Active Listening:
The vendor expresses concern about meeting the 24-hour support response. You summarize: “You’re saying 24 hours might be tight. How about 36 hours as a compromise?” This shows you listened and are open to meeting them halfway.
Leveraging Technology:
As you discuss these terms, you screen-share the contract. Your teammate edits the pricing clause and support terms in real-time. Everyone sees the new wording instantly. No follow-up emails are required later to confirm what was changed.
Taking a Break:
If you reach a deadlock—say, the vendor wants a strict auto-renewal clause, and you want a more flexible cancellation policy—suggest a short pause. “Let’s take five minutes so we can consider some options.” After the break, you might propose a partial compromise: a 30-day cancellation notice instead of 60 days. The vendor, now calmer, might agree.
By the end of the call, you summarize: “We’ve agreed on 30 seats at $X per month, a 36-hour support response, full CRM integration within 30 days of signing, and a 30-day cancellation notice. I’ll send an updated contract draft today, and you’ll review it by Friday.” Sending that draft immediately seals the verbal agreement in a written form, reducing any risk of confusion.
Building Confidence Over Time in Live Negotiations:
These tactics become easier the more you use them. After a few live negotiation sessions, you’ll know when to push back, when to pause, and how to keep the conversation clear and constructive. Over time, refine your agenda templates, prepare standard clauses, and train your team to handle their roles seamlessly.
Improving your negotiation approach doesn’t just save time. It also helps maintain positive relationships with vendors and clients, who appreciate smooth, respectful interactions. Everyone wins when deals close faster and with less friction.
Also, don’t forget to check out our list of negotiation Books to read to become a better negotiator.
Conclusion:
Long live negotiations where you reach no results don’t have to be your standard. By preparing in advance, setting a clear agenda, speaking plainly, delegating tasks within your team, listening closely, using the right tools, and knowing when to step back, you can drastically shorten negotiation times and reduce stress.
This structured approach leads to fairer deals struck in less time. Instead of hours or days spent ironing out small details, you’ll wrap up contracts more efficiently. You’ll protect your interests and keep your partners happy, setting the stage for productive, long-term relationships.
Need help?
For help with your contract negotiations and related processes, reach out to us via lowa@amstlegal.com or book an appointment with Robby Reggers here.
9 Actions to End the Year Strong in Contract Negotiations
Introduction
As the end of Q4 2024 approaches, legal and commercial teams face pressure to finalize contracts before the holiday break. The final weeks of the year present unique challenges, with tight deadlines, competing priorities and holiday disruptions. Success depends on aligning your team and prioritizing the most critical contracts with a focus on maintaining clear communication throughout the process.
With 20 December 2024 as the (most likely) last day to finalize contracts, prioritizing deals that directly impact your company’s goals is essential. At the same time, addressing dormant deals and preparing for next year when time allows will ensure a smooth transition into 2025.
What We Will Cover in This Article
To finish the year strong and enter 2025 with momentum (while feeling rested), you need to focus on the following now:
- Bring your teams together to align on priorities and processes.
- Devote your full attention on clear communication, both internally and with customers.
- Prioritize Q4 2024 deals, address dormant contracts and prepare Q1 2025 deals if time permits.
In this article, we will outline 9 actionable tips to help you organize your efforts, streamline workflows, and avoid a year-end scramble.
9 Actions to Close Out the Year Successfully
1. Align Priorities Across Teams
The first and most crucial step is to bring all relevant teams together—Legal, Sales, Procurement, and Operations. Without alignment, resources can be wasted, and critical deals may slip through the cracks.
- Host Priority Meetings: Convene key stakeholders to discuss active contracts and set clear priorities.
- Set Realistic Timelines: Share anticipated closing dates and deadlines, taking into account holiday schedules.
- Address Bottlenecks Early: Identify potential obstacles, such as approvals or customer feedback, and plan to resolve them.
- Document Priorities: Create a shared list of deals and communicate expectations to all involved.
Why This Matters: A lack of alignment leads to confusion and delays. Clear communication ensures everyone is working toward the same goals.
2. Finalize Q4 Deals That Matter
After aligning priorities, focus your efforts on closing Q4 2024 deals that are most important to your company’s financial and strategic objectives. These contracts often involve high-value agreements or partnerships where delays could have serious consequences.
- Assign dedicated resources to critical deals.
- Regularly update internal and external stakeholders on progress.
- Use the tools and processes your company has designated for tracking and approvals.
Key Question: Which deals are tied to year-end financials or essential company objectives?
3. Prioritize High-Value Deals
Within the Q4 pipeline, high-value deals deserve special attention. These agreements often require more complex negotiations, multiple approvals, or input from senior decision-makers.
- Set weekly check-ins with deal teams to track progress.
- Identify potential risks or delays early and create contingency plans.
- Ensure executive stakeholders are available for final approvals.
Why This Matters: High-value deals typically have the greatest impact on your company’s year-end performance and strategic goals.
4. Push Small Deals to Close Quickly
While high-value contracts demand attention, small deals should not be overlooked. These agreements are often easier to finalize and can contribute to year-end results with minimal effort.
- Set a goal to close smaller contracts early in December.
- Automate workflows where possible to speed up execution.
Why This Works: Small deals are low-hanging fruit that boost momentum and free up resources for larger negotiations.
5. Address Dormant Deals Immediately
Dormant contracts – those that you have chased but have not heard back from or are unresolved – should be reviewed and addressed now.
- Discuss and determine if these deals can be realistically closed before year-end.
- For contracts that cannot be finalized, communicate plans to defer them to 2025.
Key Tip: Don’t let dormant deals distract from critical Q4 priorities. Clear them out to create focus and clarity.
6. Communicate Proactively with Customers
Proactive communication is essential for keeping deals on track. Schedule touchpoints with high-priority customers to confirm timelines and address any outstanding issues.
- Share clear expectations for closing terms and deadlines.
- Follow up consistently to maintain momentum.
- Ask if certain specific closing requirements are important for the customer – for example signing protocols & timing.
Why This Works: Clear communication reduces uncertainty, builds trust, and helps avoid last-minute surprises.
7. Enable Your Team with Clear Instructions and Tools
Ensure your team has access to the right tools and a clear understanding of how to use them. This includes contract management systems, signing tools, and repositories.
- Save contracts in designated locations for compliance and easy access.
- Track progress on negotiations, approvals, and signatures using your company’s approved tools.
- Refresh your team on contract thresholds, policies, and escalation processes.
Why This Matters: Standardized workflows minimize confusion and ensure contracts are executed efficiently.
8. Review Processes, Not Just Contracts
A successful year-end close depends on streamlined workflows, not just finalizing agreements. Take time to review and address any gaps in your processes.
- Are all approvals aligned and documented?
- Have compliance requirements been met?
- Are decision-makers available for final signatures?
Why This Matters: Process inefficiencies can derail even the most well-negotiated deals.
9. Review Q1 2025 Deals Only If Time Permits
Finally, if your team has capacity, begin preparing for Q1 2025. Use this time to lay the groundwork for contracts that will need early attention next year.
- Draft templates and standard terms.
- Schedule initial meetings with stakeholders for early January.
- Address any known issues that could cause delays.
Key Tip: Keep your focus on 2024 until all critical contracts are on track to close.
Conclusion: Focus on What Matters Most
As the year draws to a close, success hinges on prioritization and clear communication. Focus your efforts on:
- Bringing your teams together to align priorities and streamline processes.
- Closing critical Q4 2024 deals that directly impact financial and strategic goals.
- Resolving dormant deals or deferring them to 2025 with a clear plan.
- Preparing for Q1 2025 only after year-end priorities have been addressed.
By following these steps and equipping your team with the right tools and processes, you can ensure a smooth year-end close and start 2025 with confidence.
We can also recommend a great article on this subject by Bari Williams, Head of Legal & Legal Content at LegalOn Technologies, see link on contractnerds.
For help with your contract negotiations and related processes, reach out to us via lowa@amstlegal.com or book an appointment with Robby Reggers here.
Why Saying “That’s Right” Is a Great Negotiation Strategy
Introduction – Starting With The Basics
When negotiation, the ability to build trust and rapport with your counterpart is of huge importance. Negotiations are about connections between people, so do not loose sight of this when negotiating prices or a contract.
Do not forget is it even one of the basic principles of the Harvard Negotiation Principles. When building this connection with your counterpart, it is one of your best strategies to achieve a “that’s right” reaction from the other party. This simple yet powerful affirmation can significantly shift the dynamics of a negotiation in your favor as your counterparty will feel heard and understood, which will in turn lead to a better negotiation.
Getting to the “That’s Right” Moment: Building Trust and Understanding
As we have seen in daily practice, and as highlighted by Chris Voss in his book “Never Split the Difference, one of the most effective strategies to building rapport is the art of eliciting a “that’s right” moment from the other party.
To be successful in receiving or giving this reaction, you will need to actively listen, empathize, and demonstrate a deep understanding of their position. By using techniques like mirroring, labelling or paraphrasing, you can set out the foundation to make the counterpart more receptive. This acknowledgment can break down barriers and invite a more honest and cooperative dialogue. It shows the other party that you value their perspective, resulting to a more collaborative negotiation process.
In negotiations, achieving a “that’s right” moment means that the other party feels heard and understood. This feeling of being understood is a fundamental human need and, when met, can transform the negotiation landscape. When the other party says, “that’s right,” it indicates that you have accurately captured their concerns, desires, and motivations. This not only builds trust but also encourages them to be more open and flexible in finding a mutually beneficial solution.
The Power of Admitting Mistakes: Gaining Respect and Trust
At AMST Legal we even go further: you should also actively work towards saying ‘that’s right’ to your counterparty. Admitting that the counterparty made a good point or that she found an error in one of your documents is a powerful message.
Admitting mistakes and acknowledging the validity of the other party’s points is a powerful tool in negotiations. When you say “that’s right”, you show that you are not just in it to win but are also willing to concede and find common ground. As I have seen in a number of negotiations, this approach can disarm even the toughest negotiators and build a foundation of mutual respect and trust.
Don’t be hesitant admitting that your counterparty made a good point. At AMST Legal we say: works towards it!
This vulnerability can humanize you in the eyes of the other party, making them more likely to trust and respect you. This, in turn, can lead to smoother negotiations and better outcomes for both sides.
Practical Strategies for Implementing “That’s Right”
To effectively use the “that’s right” strategy in your negotiations, consider the following practical steps:
- Active Listening: Truly listen to the other party without preparing your counterarguments in your head. Show that you understand by summarizing their points accurately. This involves not just hearing their words but also understanding their underlying concerns and motivations.
- Empathy Statements: Use phrases like “I understand how you feel” or “It sounds like…” to convey empathy and acknowledgment. These statements can help the other party feel validated and understood, which can reduce tension and foster a more collaborative atmosphere.
- Reflect and Validate: Reflect on what the other party has said and validate their feelings and perspectives. This does not mean you agree, but that you understand. Validation can be a powerful tool in building rapport and trust, as it shows that you are paying attention and taking their concerns seriously.
- Admit Your Mistakes: If you realize you’ve made an error or there’s a valid point from the other side, acknowledge it openly. Saying “I was wrong” can be powerful when building trust. Admitting mistakes can also show that you are confident and secure enough to own up to your errors, which can enhance your credibility and respectability.
- Seek Win-Win Solutions: Frame your negotiations around finding mutually beneficial outcomes. Show that you’re willing to make concessions for the greater good of both parties. This approach can create a more positive and productive negotiation environment, where both sides feel like they are working towards a common goal.
Other Experts confirming this Strategy
In addition to Chris Voss in his book Never Split the Difference, other experts have emphasized the importance of trust and understanding in negotiations. Please see below a list of three other leading Negotiation Experts confirming this approach.
The 7 Habits of Highly Effective People
Stephen Covey discusses in his book the principle of “Seek First to Understand, Then to Be Understood” as a fundamental habit for effective interpersonal communication. This aligns perfectly with the concept of achieving “that’s right” moments by demonstrating genuine understanding and empathy.
“When you show deep empathy toward others, their defensive energy goes down, and positive energy replaces it. That’s when you can get more creative in solving problems.” – Stephen R. Covey. Read more about Covey’s principles at FranklinCovey.
Getting to Yes: Negotiating Agreement Without Giving In
Roger Fisher and William Ury highlight in their book that changed the world of negotiation the importance of separating people from the problem and focusing on interests rather than positions. Understanding the other party’s interests can lead to more effective and amicable negotiations.
“Understanding the interests behind the positions helps negotiators find common ground and create win-win solutions.” – Roger Fisher and William Ury. Learn more from the Harvard Negotiation Project.
How to Win Friends and Influence People
Dale Carnegie’s timeless advice on building relationships and influencing people underscores the power of making the other party feel valued and understood.
“The deepest principle in human nature is the craving to be appreciated.” – Dale Carnegie. Explore Carnegie’s teachings at Dale Carnegie Training.
Conclusion
At AMST Legal, we have witnessed firsthand how these strategies transform negotiations. By striving for “that’s right” moments and being willing to admit our own mistakes, we foster an environment of trust and respect. This approach not only smooths the negotiation process but often leads to more sustainable and satisfactory agreements for all parties involved.
Incorporating the “that’s right” strategy into your negotiation toolkit can significantly enhance your ability to build trust, foster cooperation, and achieve successful outcomes. It emphasizes the importance of understanding, empathy, and humility in negotiations, which are key components in building long-lasting and mutually beneficial relationships.
Contract Negotiations: How to Avoid Negative Reactions in Redlines and Mark-ups
𝗤𝘂𝗶𝗰𝗸 𝗖𝗼𝗻𝘁𝗿𝗮𝗰𝘁 𝗡𝗲𝗴𝗼𝘁𝗶𝗮𝘁𝗶𝗼𝗻 𝗧𝗶𝗽 𝗼𝗳 𝘁𝗵𝗲 𝗗𝗮𝘆: When reacting to a comment or suggested wording by a counterparty that is commenting on your contract, 𝘢𝘷𝘰𝘪𝘥 using negative language like:
“Adding this wording in the Article is incorrect because it has already been covered in Art. 12.”
Instead, try saying:
“Thank you for your comment. I agree with your addition. Please note that we have already covered this in Art. 12.”
Additionally, for important subjects, you can add:
“If you do not agree with this wording, please let me know”; and/or
“Please let me know if you would like to discuss this topic during our next meeting”.
As we know, during contract negotiations, it’s important to maintain a cooperative relationship with the other party. Remember, the counterparty is also just doing their job and you are working together to reach a mutually advantageous outcome.
By using positive language in your reactions to comments, you can help keep negotiations running smoothly and maintain a good relationship with the counterparty.
For a bit more background on The Importance of a Relationship in Negotiations, please see the following article on the Harvard website.
See our original post on this subject on LinkedIn
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