Hi makers I'm Nirva. AMA about fundraising, intellectual property and mixing nostalgia and tech!
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Hi Product Hunt Makers! My journey has been crazy to say the least… I’m an orphan so from the very beginning I’ve had to learn to be resilient. My career focus has been in business development & supply chain which led me to generate $45M in annual revenue with negotiated package deals & new supplier selection process as well as travel to Germany to lead Airbus initiatives. My educational background is math and aeronautical science engineering. I'm currently developing a travel planner app for iOS and Android called M3CCA. Here to answer any and all questions about startup process, funding, negotiations, representation in tech, mixing nostalgia + tech, building an audience, intellectual property and me.
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Abadesi@abadesi
Hustle Crew Academy
Hi Nirva -- incredible to see you were able to single handedly generate $45M in revenue from clients in the aerospace field. What are some effective negotiation strategies you have used that we may not have heard of or tried before?
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@abadesi Great question! There's no way to create a cookie-cutter approach that works in every case. Here's what I've learned throughout the years....
It all starts with doing your homework/being prepared. Start with your organization then your opponent. You have to control the negotiation way before it begins. Also, every negotiation has an emotional undertone. Learn your tempo and adjust/chuck it before you get to the table. It can make/break the deal so self-awareness is key.
Find all the pressure points and have the ability to spot the real bottom-line issues quickly. As far as strategy, per say, it really depends on your business model and what's up for negotiation. In Aerospace blind reverse auction tends to be useful.
Also, use the power of reciprocity. I've given up a less important concession and ask for an important concession in return. Another useful tactic is to request a copy of the contract after the first discussion. What happens is folks get price centric and forget that all the legal jargon can be detrimental to the deal (i.e., exit strategy, etc). So, in essence, look at the big picture.
My number one advice outside of all that is don't be afraid to hear no. No is when the fun starts...anything else means you probably left money on the table. So beware of yes and master your no.
If you have fundraising from two sources but they have less than 50% share do they out vote you on issues? How does that work?
@judahfrangipane I need a bit more color... are you referring to crowdfunding?
@ubuntu Not crowdfunding. Funding from venture capital, angel investors, etc. For example, I read that companies raise funds in Series A from Company A and later at Series B they may raise funds from Company B and Company C.
When some decisions are made you have to have a vote correct? If you have a company and three investors then it's a total of 4 votes. The investors can outvote you if they wanted whether you have 51% ownership or not.