How To Make Starter Business Deals That Will Secure Your Future p2.

Structuring Your First Deals | Read Part 1 Here >>>

Here is an example: set up a contract with the family member where you give them something or do work for them free of charge for a particular duration. Set up a contract with your mother, father, grandmother, an aunt or uncle to do yard work, paint a fence or room in the house, clean out their refrigerator or help them in planting an organic garden. Anything. But make it a binding contract. The contract between a family member and non-family members should be a binding contract signed and notarized by the proper authority.

There should be stipulations, time constraints, deliverables, final contract date, satisfaction guarantee clauses etc. If you want you can write up a small half page proposal, so the other party understands what your intentions are for the work you are doing. You do not need to understand completely all of the legalities of setting up a contract like this with a close family member. This contract is just to give you practice in negotiating contracts which are preferably win win for both parties.

What do I get out of a contract with a family member who does not pay me? The fact you are helping someone live a better life should be satisfaction enough for setting up this type of contract. Moreover the experience of setting up, negotiating, and completing a contractual deal will be more educational than you can imagine. So that takes care of a couple of your contracts for the year.

Here is another example of an easy contract. Barter your time or something you own against something someone else owns or needs done, but do it through a contract. Preferably this person is not a family member. Here you want the experience of negotiating contracts with people you are not extremely familiar with. Check the newspaper want ads, search on the Internet, find something someone needs done which you can barter through a contractual agreement and give them a call. If you feel a bit uncomfortable doing this fine. You should be just out of your normal comfort zone while building your Business deal IQ.

Don't stop trying to create these contracts until you have at least five contracts on the books. If it takes longer than a year to create these five contracts then this is absolutely fine. Each one of these contracts will give you a boost in how to deal with the middle of the journey to become successful. Each of these contracts will show you and help you to understand how to get over rejections, which are going to happen through the journey. Each of these contracts will show you that you can and will persevere, in times where there seems to be no way or nothing good happening in your life.

There are other contracts which can be set up, and with each contract there should be a higher level of difficulty associated with how the deal is structured. Therefore each contract you create with another person or group should have a greater level of work that has to be put into the agreement. By the time you get to the fifth contract you're setting up there should be cash, weekly or monthly payments, barter, checks or some sort of monetary exchange. There are always steps to every process therefore by the time the fifth contract is done you should be a pro at setting up small deals. Some of you will have a learning curve and want to move to more advance deals sooner than later. This is fine as long as the deal structuring and the idea of creating win-win contracts stay the same.

If your mind is set on greed or only what you can gain and not the other party getting a fair deal as well, the deal will not likely manifest. Deals that focus on a one sided win usually fall apart or end with bad blood. Think about ethics and honor when creating your deals. This is why each deal should be just a little more advanced than the one previous. No monetary exchange until a proper mindset for deal making has been reached. The longer money is kept out of the deals you are setting up the more you can focus on the service end of the deal. Many times when you focus on service monetary rewards come anyway. Be honest with yourself and the other party when creating your deals, and you'll feel better, and do better.

by: Michaelson Williams, TSX

I am the host of the True Success Xpert Podcast where I interview and sometimes am interviewed by some new age entrepreneurship. This podcast is always exciting and intriguing as the conversations cover a broad spectrum of topics.