Individuals and companies negotiate and enter into contracts fairly frequently in the course of business. Some business agreements may be simple enough for the typical person to draft, and may just be a verbal agreement and a handshake, while others may require the help of a skilled contract attorney.
In either case, the ideal end result is confidence that you have negotiated the best terms for your business and created a well-drafted agreement that will avoid any dispute or potential litigation. Below, you'll find tips on negotiating and writing a sound business contract.
Certain fundamental strategies will assist you in the day-to-day negotiation that all businesspersons perform, in contracts and other business transactions. Remember, those with whom your business is negotiating also will be working hard to leverage the deal in their favor. The following are a few suggestions to get you started on the road to effective negotiation tactics:
Contract Drafting Tips
It is helpful to understand the basics of contract drafting even if you rarely draft your own contracts. A basic understanding can add to your confidence in all types of business writing, and will also aid when reviewing and interpreting the contracts in which you are a party. Consider the following tips for drafting a contract:
Talk to a Lawyer First Before Negotiating a Contract
Since contracts are legally binding and don't always go according to plan, it makes sense to negotiate shrewdly, understand all of the terms in a contract, and make sure you're prepared should the agreement go south. Consider speaking with a business and commercial law attorney before negotiating or signing a contract.