A few simple tips can make your contracting go more smoothly and result in a better deal for you. Minimizing the size of numbers, specifying expenses in words versus numbers, requiring minimum purchases of services, defining classes of travel, and adding terms like "in its sole discretion" or "as mutually agreed upon in writing" can simplify contracting and improve your negotiating success.
- A few simple tips can make your contracting…go more smoothly and result in a better deal for you.…Here's some of my favorites.…Minimize the size of numbers.…Instead of saying, "The client will pay $60,000…"for 300 hours of services," say,…"The client will pay $200 per hour of services rendered.…"The consultant will provide up to 300 hours of service."…Those are much smaller numbers.…That's a lot easier to accept…and approve on the client side.…
Specify expenses in words verses in numbers.…If you say, "The client will pay up to $15,000…"in travel expenses," they'll likely negotiate that number.…It's a big dollar amount.…If, instead, you say, "The client will reimburse…"for actual travel expenses," it's more likely…to be accepted as written with no negotiation.…Require a minimum purchase of services.…A lot of effort goes into selling, proposing,…and contracting for an engagement.…
You don't get paid for that time.…If the client uses 60 hours of your time contracting…and then only does a six hour engagement,…you've made a pretty poor hourly rate.…
- Identify effective consulting contracting techniques.
- Explain how to evaluate an attorney for legal counsel.
- Compare and contrast different types of major contracts.
- List the major players in a contracting process.
- Define payment terms.
- Define warranties and liability.
- Scope a consulting engagement.
- Describe how to negotiate major contract points.