Emotional Vulnerability

Both sides are vulnerable at the closing. They’ve already emotionally attached themselves to the deal. In the case of my friend, he’d already decided how he was going to spend the money. He didn’t have to go through with it, of course, but his position would have been that much better if he hadn’t started eyeing that television set before the deal closed.

I think it was a television set. Maybe it was a new drill. Whatever. The point is, you do not have a deal until the closing. Don’t start acting as if you do.

The negotiating team should lay out the understanding carefully before the closing. Reiterate important points: “You’re going to have your hands up when you come out of the building.” Don’t take shortcuts: “We’ll do what we did last time.” Remember, there are no shortcuts in negotiations.