Posted by F2F/FL on 2/6/13 9:37am
Msg #454213

Need advice on negotiating skills

Was offered to do a re-fi w/fax backs from a ss that first offered $90 with $10 extra for the fax backs. This was coming from a ss that only has 3 stars with negative responses on lowball fees w/fax backs, and very long pay periods.
I told her that if she could get my standard fee of $125 approved that I would not charge the fax back fee. She said she would see if she could get it approved, and said she would call me back if she could. I really DID NOT expect a call back, I figured they would find someone that would except their lowball fee plus their redicules fax back fee to do the job.
Well about 45min. later I received a call back and she said that she got it approved and would I still take the job. I repeated to her, so you got the $125.00 and she said OH I thought it was $100. So I said no it was my standard fee of $125.00 and if she could get it approved that I would love to do it for them. She again said that she would see if she could get it approved then she would call me back.
So if you crunch the numbers she really was not getting anything approved. 90+10 is still $100.

So will someone please advise me if I am doing OK with the negotion skills. I guess we will see if she calls me back.

Reply by notary/OR on 2/6/13 9:46am
Msg #454215

Don't negotiate your fee unless the distance is so small that you can afford to knock off some money. I never ever negotiate with a company that has a low rating. My fee is what it is and quite honestly why would you even want to negotiate when you are going to have to wait to get paid. You are better off keeping your time open for a company with a solid reputation.

How long have you been a notary and what is the distance you will cover for your fee? How much work are you getting? Is it enough or do you want to be busier? Are you marketing still or is your schedule booked?

Those are things you may want to consider when setting your price structure.

Reply by Lisa Cirillo on 2/6/13 10:01am
Msg #454216

I agree. Thats good, sound advice. I'm surprised you are negotiating with the company after reading poor reviews. Remember your time is worth money, set your fees and stick with them.

Reply by SharonMN on 2/6/13 10:37am
Msg #454219

Only you can know if offering the $125 was a decent deal for you. However, obviously she wasn't getting the $100 approved since that was what she offered in the first place (she wouldn't have had to get it approved). Stick to your guns and don't feel bad about her misunderstanding (or trying to pull a fast one).

Reply by F2F/FL on 2/6/13 11:12am
Msg #454233

Thanks for the feedback. To answer some of the questions that were asked.
I have been in business in this area for about 3 years now and my business has been picking up on a regular basis, so yes I do want to keep my calender available for the better companies that I have been working for regularly. And yes I have excepted $90 closings in the past but "again" they were for companies and in the local area, that I prefer to work for because they have not failed me yet. This particular one was in a county that I work in regularly but have never had a problem getting my standard fee of $125 and on time payment. I know the mileage is around a 70/80 mile round trip with NO fax backs, so I don't feel I am asking too much.
Others here of late have been disussing negotiation skills and how it has worked for them, and so I decided I would start negotiating too when I get what I feel are lowball fee offers.
BTW this company (which I will not advertise for) has not called me back and I wish who ever they found good luck.
Again thanks for the encouraging word of advice.

Reply by Moneyman/TX on 2/6/13 1:01pm
Msg #454263

Overall, you are doing the right thing by sticking to your fees, with the exception of what notary/OR mentioned, imo. You will have more confidence in decision to stick to your fees once you have turned down some of the lower offers and have the time to accept the higher paying ones that are for the same time.

Why charge your standard fee if you are going to have to chase your money? Personally, I charge a higher fee for Net 45 day companies and charge double for Net 60 day paying companies (which they never accept). When the loan funds, payments are made. It is not my concern what arrangements SS companies may/may not have made with the TC regarding their payment times to them. If they want to use my money to help with their business cash flow issues, I charge them extra fees for that service, jmo.

If they are rated low in SC for low offers and slow (and maybe no) payments, they have those ratings for a reason. It may be a trend and you wouldn't want to be on the tail end of that trend like a lot of people were for NERIS, and others, who got stiffed when they went out of business.

As others have stated, for low rated companies, I wouldn't lower my fees if I were you. Fax backs require extra time and an extra trip to drop off the docs. One of the things you have to take into consideration when setting your fees is your time.

An 80 mile r/t signing, without fax backs, should expect to be charged much higher than $125, imo. It would involve 2+ hours of drive time on top of the normal time involved in a local 20 mile round trip signing.

Should they call back, I would be "unavailable" for that signing request if it were me. You already know they are willing to play games by trying to get you to accept $100 after you have refused. That is before you actually preform the job, you have to wonder what kind of games they are willing to play after they actually owe you money?

Reply by F2F/FL on 2/6/13 2:56pm
Msg #454300

Thanks Moneyman, that was very inspireing. And no they did not call back, so I did learn a little bit today.

Reply by CarolF/NC on 2/6/13 10:38am
Msg #454220

Nothing wrong with your skills. They have selective hearing n/m

Reply by Chakwaina on 2/7/13 10:42am
Msg #454514

DON'T Negotiate

Never drop your fee unless it is next door. Some of the really low ballers have actually heard me say, "I don't get out of bed for less than $xxx."

I have had companies call me back and say they respected me for sticking to my guns, that it shows professionalism and confidence.

I will do a max of 10 page fax back included in my regular fee, but if I get that package and its more than that, I no print, unless they agree in writing to my fax back fee or no fax backs.

If I get a package with more than 120 pages, I call back and again, no print until written increase or sometimes I luck out and get permission not to print all those #$^&*^%^&** instructions (that comes mostly from companies I have worked with a long time that know my work.)

I sat down and using the Internet for research, found all counties, cities and ZIP codes I was within the radius from my home I am willing to travel. Figured out the costs of driving my 4 wheel drive to these signings and my smaller truck (I service a very rural area in TN sometimes a 4x4 is required) I do charge extra when there has been a weeks worth of rain and I have to go down chert roads (TN don't have no dirt roads! LOL just chert that is slippery when wet worse than black ice). I figured out how much it costs me to print with my particular printer, per page, multiplied that by the average edoc package.

In other words I did some math. Over the years I have modified things. When my hubby was sick, at first I changed my travel radius to a smaller area. My regulars understood. I also had networked with NSAs in the further areas so when I had to refuse, I had people I trusted to recommend. This also helped the few times I had to turn one back-had someone else they could call (called the NSA 1st so they knew the call was coming and if they were avalible so I knew who to tell the company to call.)

I and many others here, put a lot of time and pre-work into setting up. We re-work those biz plans and fees, etc. every so often to make sure with the current economy, we are still making a profit.

I enjoy meeting people. Love seeing the country. But I am in biz to make a profit.

Do the work. Do the math. Then stick to your guns.

Oh yeah, several of us have point blank told companies, "sorry, will not take your signing simply because the current information on NR is you don't pay."