I recently wrote about how I would be communicating our investment offers in person moving forward. Well, we recently made a new investment offer and as promised, I shared it in person.
There were three key benefits to the in person approach. First, I felt good doing it. This was probably because it was a new experience for me and because it gave me the opportunity to explain the meaning of and our rationale for each of the key terms in our proposal. The novelty of the approach will wear off with time, but the good feeling you get from describing the reasons behind your thinking will remain.
Second, the entrepreneur appreciated the in person communication. He shared that the fact that I took the time to explain the meaning of each term, and the approaches we used to arrive at the key terms of our offer, made it much easier for him to clearly evaluate the benefits and drawbacks of our offer relative to alternative offers.
Third, we were able to negotiate some of the key terms on the spot. This is a much more efficient way of trying to establish common ground than negotiating over emails.
The entrepreneur has yet to accept our offer. So although I saw the benefits of the process, I have yet to prove that it also benefits the outcome. But regardless of how this particular outcome plays out, I’ve seen many important benefits, without any drawbacks, during the process. I’m therefore going to continue to make each of our investment offers in person moving forward.