Negotiating a job offer is an important step in achieving success in your career. This article will provide 12 tips for negotiating a job offer, from researching salary ranges to understanding the company’s needs. We’ll also discuss how to create the best possible outcome. Finally, we’ll provide three books that cover this topic in greater detail.
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Research the Market
Before you even begin negotiating, it’s essential to do your research. Your research helps you understand the hiring market and salaries for similar positions, which gives you a better understanding of what is reasonable to expect in terms of pay, benefits, and other perks.
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Research Salary Ranges
The first step in any successful negotiation is researching salary ranges for your desired open position. This will better understand the job’s market value and help you create a realistic salary expectation. You can do this by looking at salary surveys online, talking to people in the industry, and researching job postings. Regarding equity, some positions are more in demand than others, and based on the state of the economy; companies can offer smaller or larger equity packages.
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Research equity packages
Remember that the present value of startup equity packages can be smaller than that of well-established organizations. Still, the upside potential for a startup’s equity could be higher than that of a well-established company, but there’s more risk involved working for a startup.
When evaluating startup equity packages, one SVIC member likes to look at the company’s current valuation and use that to determine how likely the company can achieve the multiple of growth it would have to accomplish that member’s financial goal. The SVIC member then compares that multiple in company value to public companies and reflects on how feasible it is that the company will grow to that size in the next few years.
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Understand the role of the recruiter
A recruiter’s function is to hire great talent; if you are a fit for a role, they will do their best to hire you. The compensation team provides Recruiters with salary ranges used to negotiate your salary. The salary ranges are usually created by a consulting company that looks at average wages for various roles. Depending on the company’s size, if the recruiter requests additional funds for your offer, they need to make a case to the hiring manager or compensation team.
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Consider Your Needs
Think about what you’re looking for in terms of salary, benefits, remote work, hours, and other factors. Knowing your needs will help you to create a bargaining range for discussing the terms of your offer.
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Research the company
Research the company’s culture, values, and goals. Reach out to anyone you know who has worked for the company and ask about their experiences. Review indeed and glassdoor for perspectives about the company, but take these reviews with a grain of salt.
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Prepare Your Negotiation Strategy
Once you’ve completed your prep work and received an offer, it’s time to prepare your negotiation strategy. This should include a list of points you want to discuss and potential responses to the company’s counter-offers.
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Listen carefully when your offer is extended
Listening carefully is an integral part of any negotiation. Pay attention to the recruiter’s points and ask questions if something is unclear. This will help ensure that you understand their needs and create an agreement that meets them.
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Only say what is necessary
There’s an old saying that he who speaks first during a negotiation loses. While the recruiter is your advocate, their bias is to have you accept the offer, even if it’s subpar for you. Sharing your thoughts or feelings before you have had time to think deeply can lead you to make an emotional mistake.
You will need time to mentally digest your offer and don’t want to respond emotionally, which could weaken your bargaining position. Thank them for the offer, tell the recruiter they have given you plenty to think about, and you will get back to them. Then take some time to reflect on the offer.
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Countering their offer
When providing the recruiter with your counter, clarify what you are looking for and do it as briefly as possible. Unnecessary hedging and groveling muddles your message. If you hedge your writing with weakness, “I would probably be ok with,” or “It would be great if..” you are communicating that you will back down from this request. Communicate clearly and confidently what you’re asking for. This demonstrates you have value, and the recruiter & hiring manager want to see this because it reaffirms why they wish to hire you.
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Be Ready to Walk Away
Sometimes the company can’t meet your key expectations. Be prepared to walk away if the company is unwilling to meet your needs. It’s important to remember that you cannot create a mutually beneficial agreement if one party is not willing to compromise.
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Know When to Stop Negotiating
Once both parties have reached an agreement, it’s essential to know when to stop negotiating. Don’t get caught up in the small details, as this can get negotiations bogged down and even lead to an impasse. Know when to walk away and accept the agreement.
Conclusion
Negotiating a job offer is essential to achieving success in your career. It’s crucial to research salary ranges, understand your and the company’s needs, prepare a negotiation strategy, and be flexible. It’s also essential to be professional, listen carefully, and be ready to walk away if the agreement isn’t mutually beneficial. I hope you found this article helpful!
Additional Resources
Never Split the Difference: Negotiating As If Your Life Depended On It
Negotiating Your Salary: How To Make $1000 a Minute
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