Once you land that great job as a CEO, you better make sure you get every dollar you are worth. Many who are not strong negotiators will leave money on the table, make sure you are not one of these people. There is a real art to getting what you are worth without be insulting or sounding greedy, make sure you know how best to get this done.
Since most people seldom face a personal negotiating experience, it should come as no surprise that few of us are real experts at negotiating for ourselves. While they may be excellent company negotiators, we have seen many strong people leave serious money on the table when it came to negotiating their own package.
Now, the first thing you need to decide… is when to start a negotiation process. Some people mistakenly think negotiation is a continuous selling situation that occurs throughout their interviews. However, before you ever attempt to negotiate, you have to make sure that the employer is “sold on you.” Once an offer has been presented, you can’t negotiate unless there is some hope you can get the employer to offer new terms. You need to sense this on an individual basis.That’s where negotiations begin.
What to negotiate:
Coming to grips with what should be negotiated is, of course, different for everyone. Not too long ago we handled a marketing executive from Kellogg in Michigan. His primary goal was to have his family move to a new area that met outdoor lifestyle requirements, and he started by suggesting to us that a 20 percent reduction in income would be acceptable.
However, after a three-month search, he accepted a top position in Boca Raton. When we finished helping with his negotiations, his compensation ended up 15 percent higher, and he received a signing bonus, as well.Another executive was with J & J. He wanted out of the major corporate environment. He left his large company career behind when he landed with a venture capital group. His assignment was to oversee ventures that the firm funded by serving as acting CEO.
He was to complete the initial setup, find a permanent CEO, and then move on to another assignment, but remain on the board. Based in Castle Pines, Colorado, he will handle two ventures simultaneously for six-month periods—eight over two years. His base of $200,000 was a decrease, but if just one firm goes public, his equity benefit will be in the many millions.