How to Negotiate with SaaS Contracts Like a Pro (5 Steps)
Want to know how to negotiate with vendors? In today's video, I'm going to be sharing with you some tactics that I've used in the past to save thousands of dollars with different vendors, regardless of the type of vendor.
📥 DOWNLOAD my free New Business Jumpstart Kit to get greater clarity on your idea → https://www.growwithwill.com/new-biz-...
🔔 Remember to SUBSCRIBE to get new videos every week:
https://www.growwithwill.com/subscribe
☕️ Did I help you out? Buy me a coffee: https://ko-fi.com/growwithwill
0:00 - Introduction to How to Negotiate with Vendors
0:44 - Think about this in terms of mindset
Everything is negotiable.
I want you to think about that in terms of mindset before you dig into your negotiation.
The reason why is because if you come in from the standpoint of, well, this is the price and that's what it is, then you're never gonna actually be able to negotiate a better deal with your vendors.
1:08 - Step #1: You need to identify this first
The reason why you want to do this is because it gives you a really clear understanding of what the potential ROI is for you actually taking the time to negotiate with your vendors.
What you want to do is just create a active spreadsheet of all the different subscription services that you might be paying for.
2:02 - Step #2: This is where you will start to organize things
If for example, you are paying for a service that is $200 as opposed to another one that's only $20. Well, cutting down that $200 a month bill is going to be way more impactful for your business than cutting down the $20 a month bill.
2:21 - Step #3: Get in touch with the right people
In the case where you didn't actually talk to anybody at that company before making that buying decision, what you can do is you can just check out the contact us page or the support page for that respective business. In the case where you don't want to do that yourself, just task it to a virtual assistant of yours so they can do that research for you.
2:45 - Step #4: Here's what you're going to emphasize in your ask
Now, obviously you can use whatever template you want, but at the core of it, here's what you need to emphasize.
One, you have been a loyal customer with them for whatever period of time that it's been.
The second thing that I emphasize is that things are tough for your business and that you're really looking to make things more cost effective or economical in the coming few months.
The third thing that I emphasize is that I'm willing to actually sign a longer term deal.
And the fourth thing that I emphasize with this template is that it's okay if they say no. This gives them an easy out in the case where they're not able to do anything.
Another thing you can do, if you want to improve that template is you can also mention how you are an early stage company
5:01 - Step #5: Take a look at all the response from vendors
The last time I did this was at my last company. It was during the peak of the global situation that happened. And pretty much we reached out to every single vendor that we were spending money with.
And we ended up saving tens of thousands of dollars because at that point in time, everybody was kind of freaking out about the state of the world.
I really want to emphasize when it comes to negotiating with vendors, especially in the case where you are working with other B2B SaaS companies, you have to understand that their margin is oftentimes 80% plus in terms of the profit they're making off of you.
6:17 - My recommendations
Assuming that you've been successful, what I then recommend you do to make this scalable over the long term is to create a tracker for yourself. That way as you hire an operations person or an office manager in your company, you can actually have them do that sort of outreach on an annual basis to see where else you can stack deals.
✍️ COMMENT BELOW:
How do you deal with vendors?
Grow with Will is all about helping you grow your business, get more customers, and hone your business acumen. I teach you the real-world business skills you didn't learn in school to help take you from zero to self-starter.
🔔 If you find this helpful, SUBSCRIBE for new videos every week:
https://www.growwithwill.com/subscribe
📸 My YouTube Gear: https://kit.co/GrowthWithWill/my-yout...
Disclosure: Some links and products are affiliate links, meaning Grow with Will will earn a commission if you make a purchase through our links, at no cost to you.
Disclaimer: Grow with Will does not provide tax, legal, or accounting advice. This video, and the ideas presented in it, are for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice.