Negotiating is perhaps the most romanticized aspect of partaking in an investment opportunity. The idea of meeting room negotiations is widely portrayed as the climax of movies, in TV advertisements, and other media outputs. However, David Amis and Howard Stevenson suggest that it is often the shortest stage because many winning investors simply do not negotiate (p. 225, 2001). On the other hand, they also acknowledge that “Negotiation will almost certainly bring improved terms” (p. 228, 2001). Unlike other fundamentals of early-stage investing, negotiating is not a spectrum of choices. Negotiating starts with a choice between actually negotiating and not negotiating at all. Both are valid options and deserve further analysis to better understand the intricacies of negotiating early-stage investment deals. Continue reading “Negotiating (5th Fundamental of Early-Stage Investing)”
Negotiating (5th Fundamental of Early-Stage Investing)
