

New Year's resolutions for startups who want to close deals - dabent
http://venturehacks.com/articles/closing-deals

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skmurphy
It's funny but these are mostly the reverse of what you want to do when
closing deals with customers or business partners (vs.investors):

1\. Focus on the opportunities that are in front of you.

2\. Establish a working rapport with the customer/partner, a deal should be
the start of a long and mutually beneficial relationship.

3\. Maintain your balance, burnout is much more of a risk than losing any one
deal in this environment.

4\. Don't get into an adversarial relationship with your customer/partner.

5\. Focus on reaching a business agreement, lawyers can advise you on business
risks, but in the end it's the entrepreneur's call what risks to take.

EDIT: This post is not representative of the tone and quality of those on his
website <http://walkercorporatelaw.com/> here are two that are much more
useful:

[http://walkercorporatelaw.com/startup-issues/ask-the-
attorne...](http://walkercorporatelaw.com/startup-issues/ask-the-attorney-
founder-vesting/)

[http://walkercorporatelaw.com/angel-issues/angel-
financings-...](http://walkercorporatelaw.com/angel-issues/angel-financings-
legal-tips-for-entrepreneurs-part/)

~~~
SWalker26
not sure my post is inconsistent with anything here. all i'm saying in a
nutshell is (i) create a competitive environment, (ii) be disciplined, (iii)
work hard, (iv) diligence the guys on the other side of the table and (v) get
a good lawyer/advisor to watch your back. yes, i tried to mix-up the tone for
venturehacks. thanks, scott

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dennykmiu
Not such bad advice here, especially consider that it is coming from a service
provider (i.e., corporate attorney). My own opinion is that realistically, the
only startups that could close an investment deal in 2010 are mature companies
that have demonstrated a robust revenue model and are in need of money (and
_only_ money) for expansion. My advice to them is the same as what I received
in 1999 after I secured my first term-sheet. After almost three years of hard
work I finally had something to show to my attorney friend and I asked him
what to do next. He said, “now go out and get another one just like it.” In
other words, getting a term-sheet is only the first measurable step and to
close any deal, you must have competitions. But all entrepreneurs should
remember that “Every problem in a startup (including funding) can be solved
with the timely arrival of a PO.” So even if you can't close any investment
deal in 2010, as long as you have sustainable revenues, all other problem can
be solved. In other words, focus on "value creation" and the "valu-ation" will
follow.

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SWalker26
yes, competition is key and obviously so is cash flow (but two different
issues). thanks, scott

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jboydyhacker
How about stay away from lawyers that try and make business decisions for you?

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SWalker26
i agree, but i think you need a good lawyer (without a vested interest) to
watch your back when you're doing deals. a good lawyer can also help you think
through some of the key business issues. cheers, scott

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slapshot
Resolution 6 - I will not pretend that my startup is Glengarry Glenn Ross.
While I should Always Be Closing, the rest of that movie is a mockery of the
deal-closing process.

~~~
SWalker26
Resolution 7 - I will not waste my valuable time watching TV or silly movies

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ellyagg
He says working really, really hard matters. Just wanted to note that since
there's been much opinion to the contrary here recently.

~~~
SWalker26
in my experience, there is direct correlation between success and hard work.
cheers, scott

