Ask MetaFilter questions tagged with negotiations

How do I hire, and pay to, a buyer's agent for commercial lease negotiations?

cst — Fri, 24 Jul 2009 13:16:05 -0800

Should I hire, and how do I pay to, a buyer's agent for commercial lease negotiations? Note: I found property myself but the negotiations don't go the way I expected... This is my first experience in the commercial real estate market. After an extended market research I found this property (industrial, not retail) and approached the selling agent myself (don't tell me it was a mistake - I've realized it myself by now). The negotiations are going pretty hard: the broker initially (in our first phone conversation) quoted me pretty good lease rate, but when it came to the actual Offer to Lease, the rate suddenly became "subject to change based on the amount of landlord's work required".

Of course they use their "standard" Offer to Lease form that is heavily skewed to the landlord's advantage. Most of the amendments I propose are being declined or watered down on the grounds that "this is just a preliminary offer - lets keep it simple -- we'll incorporate your proposals in the final lease document". And this is just the drafting stage, even before the offer is shown to the landlord!

I could of course keep pushing my way in negotiations and insist on the initial quoted rate and including all my amendments, but I am afraid I don't know where to stop: what is acceptable/common industry practice, and what is just broker' tricks playing the newbie. At the end, if I am unwilling to compromise I may end up loosing this location - which I wouldn't like to see go as it is on the top of my shortlist.

So I am seriously thinking about retaining a buyer's agent to help me in the negotiations. As far as I know, the usual industry practice is the buyer's agent makes initial contact with the listing agent and then they split commission 50/50. But how do I do it at this stage, in the middle of negotiations? Should I pay the buyer's agent myself? What should be the fee structure? Fixed amount? Success fee (based on what - percentage of savings negotiated, percentage of lease amount, etc)?

Please tell me what you think or know, share if you had similar experience. Any constructive feedback will be very much appreciated!

Bitch better have my money...

Fupped Duck — Tue, 12 Aug 2008 12:11:45 -0800

Negotiating Filter: Please help suggest a way to negotiate with tight fisted mgmt so they will recognize an above the call of duty sale with an above the call of duty commission above the existing commission structure A friend is a national Sales Mgr for a small company that manufactures a unique (patented) device for boats. The company is owned/operated by the husband (inventor of the device) and his wife. Sales have been good with steady growth in the 5 years since they started up.
As sales manager, he routinely sells to dealers and the occasional distributor, and is compensated for this with salary, + a small commission plus bonus if certain goals are met.
Some owners are very much enlightened and cognizant that its a team that makes their company a success and it comes across in the way they share the spoils of success.
These owners, not so much. Their attitude is more akin to "we thought of it, and the employees are here to help us capitalize on our continued success".
The last sales manager quit after he missed his bonus by less than 1/4 of a percent (in large part due to production probs caused by the owners). They declined to pay his bonus, and pulled up in his and hers Mercedes the next day. He left over this not long afterwards.
At issue here is my friend the sales manager, at a trade show, has opened up a very large new account with a very large boating mfr, and at higher pricing than they give distributors (for scale, a distrib account is usually a bit smaller than the value of this new deal with the snow mobile mfr).
So this is a home run for the SM, and now that the deal has been cemented, he'd like recognition in the form of a higher commission than he normally gets since this is far and above a larger account than he's expected to land.
He feels quite certain that if he doesn't ask for more, they won't offer more on their own initiative.
Asking outright seems like a sure path to sore feelings / expectations on both sides of the table. I suggested that he present the deal with pride to the owner along with an explicit pledge to repeat this performance if the incentive is there, but even that message presents a real risk of being poorly received and generating acrimony . Is there a better way to broach the topic?

How to handle salary discussions before you have a job offer?

Anonymous — Tue, 22 Jul 2008 16:50:34 -0800

Help with salary negotiations? The standard wisdom -- which I've been trying to follow -- is that you aren’t supposed to talk about salary until after you get a job offer. But the organization began talking about it when they called to schedule the first interview. Suggestions? I applied for a job. They required a salary history. I sent mine, stating that I make, let’s say, $60k (the details are changed here; it’s less than that). An assistant called, saying they wanted to schedule an interview with me, “but [boss] wanted to flag the fact that the salary for this position is in the mid-40s. Would you still be interested?” I paused (a bit surprised, really) and said something noncommittal, like “it would certainly be worth us having more discussion about the position.”

Next, I had a phone interview with the supervisor. The discussion had very few questions about my qualifications (one question). The call’s purpose seemed to be to explain the position and allow me to ask questions. She brought up the salary, and said that they have “authorization” to offer up to $48k, what did I think? I said something like “I would want to consider the salary in light of the full package, including benefits and the opportunities for professional growth.” She explained the benefits package (including a matching donation to a retirement account, which I admitted would close some of the gap).

The job offers a lot of opportunity for professional growth; I'd be really passionate about the work; they’re a great organization; and I could still live on the lower salary (though my ability to save would go way down). If offered the job, I would like to take it. But a 20% salary cut is still hard to take. It’s a much tougher decision than it would be if they could close that gap a bit more.

How should I handle this? Should I start to openly admit that it would be a tough decision for me at their current budget? Should I continue trying to wait until they actually offer me the job (or not)? I’d rather discuss salary once we've decided if I'd be a good fit for the job. But if so, how do I field the question? I think they may have the impression I would consider taking the job at the current salary, because I’ve typically changed the subject to how I’d be very excited to contribute to the organization. I don’t want them to think I’m agreeing to it and then seem to change my mind later. Since they keep trying to get me to say that salary is okay, they may not have much flexibility, but they must have some, right?

How would you handle this?

How do I negotiate my new salary?

matholio — Mon, 02 Jun 2008 05:56:01 -0800

What strategy should I adopt to clarify and hopefully increase this job offer? I have a job, I think it's a good job, but for various reasons I want to move on.

I had an interview with the CEO of a smallish company, and I thought it went well.

During the 1st interview, the topic of remuneration was discussed, I wasn't really ready for it, and frankly I think I made too many positive noises too early. Some figures were mentioned and afterwards I wished I had made my position clearer.
Basically there was some confusion on my part about Base/Package.

I was tempted to call back to clarify it, but I didn't want to sound over confident.

They followed up with a reference check, and finally a telephone interview with a senior technical consultant. All went well and they made an offer today.

The offer is exactly what the numbers mentioned by the CEO.
Looking at the offer, they have included Super (pension) in the Base.
That's a significant amount, say, at least 8% of Base. Maybe more but they have not indicated how much Super they offer (why?).
It's not really normal to roll these numbers together, quite unusual actually.
Also, regarding the bonus, it's KPI linked, but the KPIs will be thrashed out during the probation period.

So my question is how do I approach these discussions?

In my initial conversation with HR, I stated a minimum base.
In my mind Base does not include anything else.
The CEO may well believe we had an agreement in the first interview.
The at risk component is quite significant, so I feel they have room to move.
Should I offer to give up potential bonus, for more base salary?
Should I mention it's not usual to include super in the salary?

There no point moving for the offer they have presented, but I like the role, I think it will suit me, and they are keen to fill the role. They have been with out this role for at least a month and already feel standards are dropping.

My gut feeling is they can and might meet my minimum salary expectations, I just don't want to stuff it up with my lack of negotiation experience.

Sorry for the rambling back story, I hope it's coherent enough.

Negotiating with a NYC broker

pithy comment — Sun, 16 Mar 2008 08:53:07 -0800

Looking for advice in negotiating with a NYC apartment broker. I know they're all "scumbags" etc, but I find myself in the position of working with a broker and an apartment I want to go for. Yesterday in speaking with him I asked if there was any flexibility in his fee and he said "wish I could, but I can't." I pretty much just left it at that. The fee is 15% which is essentially 2 months rent. Insane! I have researched a bit and found that the apartment has been on the market a few weeks (longer than many), and we have another option, potentially with another broker. But my fear is that he'll just say, "OK, bye" because he can charge the full fee to someone else who walks in the door. What other bargaining chips do I have?

$duped$

meijusa — Wed, 14 Mar 2007 07:32:00 -0800

Late salary negotiations: I'm already at the new job but need to negotiate to correct initial dupery. At the time of the job offer I was told that everyone in the group is equal (work-wise this is true, we all have the same responsibilities and level of education) and gets the same salary. Upon arrival I found out that many colleagues had negotiated a higher salary (up to plus 18%), except me and some other gullible people that just believed the statement of supposed equality. Now, I already started and I like the job, just not this aspect of "some are more equal" because they asked anyway.

I asked for an appointment to discuss my contract next week, but I don't have the leverage of threatening not to take the offer, because I already have taken it. Ironically, I'm one of the people with the most prior experience, which I will point out, but I'm not sure what else to say and for how much I should ask. What can I do to increase my chances of a fair salary in this situation?

(BTW, I _did_ read the "Women don't ask" book, but apparently I should keep it in mind constantly and become more doubtful of final statements and ask regardless.)

Two jobs, one writer.

Anonymous — Thu, 01 Feb 2007 17:28:52 -0800

Two competing companies want me to work for them. How do I negotiate this to my advantage? I'm a writer with a specific area of expertise. Recently, two competing companies approached me to write about this topic on a regular basis for their websites. Company A won't pay now but might in the future; they will attribute my work and link to my own site. Company A is a small company. The guy in charge seems fair, and all our contact has been prompt and congenial. Company B initially contacted me back in the fall, but began pursuing me in earnest this week (just after I started negotiating with A, coincidentally). There will almost certainly be pay with Company B. Like A, B will offer attribution and a link; however, B is more popular than A, so the exposure would be much greater for me. I’ve long wanted to work with the people at Company B.

Company A and I have already hashed out most of the details and I could start almost immediately. With Company B, I still have at least one more round of interviews before a decision will be made.

I know this is a good problem to have, but I don’t know how to handle negotiations with two companies at once. Company A and Company B are in competition with each other. I’m worried about committing myself to Company A before hearing the final word from Company B (which probably won't be for a couple of weeks), since I’d rather work for Company B. If I take the position with Company A now, I fear that will jeopardize my chances with Company B. Do I take the sure thing now or stall until I’ve heard Company B’s offer and terms (if an offer is forthcoming at all, though it seems likely)? How can I buy more time with Company A? Or can I start with Company A and somehow use that to my advantage in negotiating with Company B?

confused.columnist@gmail.com

Used Car Negotiation Filter

aburd — Tue, 06 Jun 2006 06:57:27 -0800

In about 3 hours I am going to go and make a bid on this car. It is a 2004 Acura TL that is certified. What should I offer as an opening price? What is the max I should be willing to accept?

Accepting a job, negotiating a salary...

ruff — Tue, 16 May 2006 14:15:25 -0800

Salary negotiations tomorrow morning. Please help! I dropped out of grad school and now am accepting a job with a nonprofit I've been working for, doing somewhat precise and skilled work.

I don't know what a comparable pay rate in the area is -- all I know is that I've been making $X / hour as a consultant for the group (without benefits), and that they have a budget for this position for Y months, so they must have a rough figure in mind.

Me, I'd like to end up at the top end of their range without seeming like a cad -- it is a great place to work, I expect to learn a lot, and I'm happy to get more involved.

I've read about six Mefi threads on salary / raise negotiations and all I've learned is not to state a number first. Fine. They state one. Then, what, I just accept it? Do I add 5% and counteroffer? I'm afraid that's going to look tawdry in such a cause-oriented organization. Do I shake my head slightly and frown? Or, is there a way to pre-emptively get them to offer me the top of their range?

I'm also hoping to negotiate for four ten-hour days and the option to take some unpaid vacation time this first summer.

Thoughts on the negotiations? Other strategies or things to ask for I might not have thought about?

(I'm also outlining the projects I'll be working on -- I'm not just focusing on what they can give me. I basically need help with negotiations because I'm one of those "Women Don't Ask" types, trying to find a comfortable way to get as much as I'm worth.)

How do you (not) haggle when buying a car?

milkrate — Fri, 18 Feb 2005 15:12:20 -0800

I'm going to need to buy a car sometime soon and, from past experiences, I find this to be completely unpleasant. How can I make this easier or less painful? Have you used services that take care of negotiations/haggling? I do pretty exhaustive research before I buy almost anything, so I already know what I'd like to buy and I have a very good idea of how much I ought to/want to (and don't want to) be paying for it.

Over the past week or so, I've attempted to use services that aim to take the butt-puckeringly annoying activity of haggling out of purchasing a car while still getting a fair price, but I've found this to be pretty frustrating as well. Using Costco's program, the dealer quoted me a price that was basically the MSRP + destination charge for the car. Using different services, dealers have told me things that can be verified as either simple deceptions or plain lies.

Have you used a free or paid service, like CarBargains or CarsDirect, to get rid of the negotiating part of buying a car? How did it work out for you? Would you do it again? What other services are there for this? Alternatively, how do you avoid or deal with the haggling aspect of buying a car? Or do you just buy from no-haggle dealers?

Moving from Contract to Full-Time

jmevius — Thu, 05 Aug 2004 07:41:50 -0800

I've been offered a full-time position at a company where I've been a contract worker for nine months now. Now what? (more, of course, inside) The salary is acceptable and the work is enjoyable. I think it's a good fit for me, for both my professional and personal goals. I plan on taking the offer, but I want to know about the things I should ask for when I negotiate the deal. It's my understanding that I have more leverage at this stage of negotiations than I will in the future.

Is that correct? Anyone else have any advice/warnings/horror stories? Should I just take the job as offered and shut up?