Foreign Exchange Strategies for Small Business

We all know the immense amount of contribution that small businesses make to a particular country’s GDP, despite of their fairly less percentage among the total number of exporting businesses. In developed countries like USA and Canada the small businesses make up to more than half of the total exports in a financial year which shows the role that small business play in the highly volatile forex market. With power comes responsibilities and so it stays true for the small businesses who need to keep several things in mind when dealing in the forex market. There are several foreign exchange strategies that these small businesses can adopt to keep their resources and budget under control.

Plan Ahead

You do not want yourself to be totally unprepared and without any information about your goals. Make sure you have a close look at what your business needs and build your plans accordingly. Money managing can be one of the major differences in weather a business will be able to generate profit or not. Making a plan not only provides you with a starting point to any task but also helps you to easily handle the daily ups and downs in the market.

Spot Payment Strategy

Spot payments simply refer to when a particular currency is bought or sold immediately at the current exchange rates. This is done during the times when there are certain small payments or the currency needs to be immediately exchanged. Like the name suggests, spot payments take care of those small payments. For best results with spot payments, try to look for providers who charge low fees and compare their rates between various buy and sell spreads.

Foreign Currency Account

If your businesses has constant dealing with a particular foreign currency it is often advisable that you open a foreign currency account. While not many small businesses give it a thought but having a particular currency in stock for international transactions always comes in handy and helps a business react more quickly to any sort of currency risks. If you constantly deal with cross-currency transfers, a foreign currency account helps you save time and inconvenience.

Online Transfers

Internet is said to be one of the greatest human inventions after the Cold War era and has pretty much connected the world. Today in this internet driven age of technology, online buying and selling has become a reality. Thus, it is essential that businesses provide an easy and transparent way of making financial transfers. The best method to conveniently transfer funds from one account to another is online transfer or electronic funds transfer. This not just increases your payment visibility but will also make settling the various overseas invoices more cost effective.

Use Local Currency With Overseas Vendors

Dealing with overseas vendors has several challenges, and you certainly do not add up to these problems with making payments in your currency. It becomes a little difficult for the various dealers to determine the tangibility of a certain offer when it is made in a foreign currency. Using local currency with overseas deals can also help you get a better discount from the dealers. The dealers always add up a certain percentage of the total overseas invoices to make up for the fluctuations in the currency prices which in turn increases the price.

Currency Option

There are certain times when no matter how much you research, the market totally works against your predictions and the demand is totally uncertain. During such times it is best to consider the use of currency option. As the name suggests, if the prices of a certain currency goes in your favor you have an option of forgoing the deal and selling the position at the current price. Although you are supposed to pay a premium for this service, it can totally come in handy and provide you an edge over your competition.

We all are aware of the fact that Rome wasn’t built in a day and it takes years of hardships and constant string of profits that establishes a firm in the market. Being one of the most unstable markets in the world, it is important the small businesses follow the above tips when dealing with foreign exchange.

Author Bio:

Rohit Agarwal is an avid reader of business strategies and several business and finance related books and literature. He likes to write about these topics on various blogs and websites such as forexstars and others during his free time.

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Climate KIC – deadline extension for Accelerator and Pioneer Programme

Climate KIC is a large pan-European enterprise, research and capacity building programme focused on sustainability and low carbon solutions. Climate KIC activities in Ireland are run in partnership with The Green Way and Energy Cork in collaboration with Innovation Birmingham and Climate KIC. These opportunities are open to any organisation/ individual in the Republic of Ireland.

There are currently 3 open opportunities

1. Low Carbon Accelerator Programme – closing date for applications is 30 March 2015. This is a 3-stage programme and those organisations that progress to stage 2 and 3 will receive unique access to a potential UK supply/ value chain. Applicants that reach stage 3 of the programme can receive a grant of up to €20,000 in funding to support their business development. For more information please go to http://www.thegreenway.ie/opportunities/climate-kic/low-carbon-accelerator/.

2. Climate Launchpad – closing date for applications is 2 April 2015. This is Europe’s largest low-carbon and cleantech IDEAS Generation competition; it can also be described as a pre-accelerator. For more information please go to http://www.thegreenway.ie/opportunities/climate-kic/climate-launchpad/. If you are an early-stage start-up, SME, researcher, student, public organisation, consultancy, engineering company or a combination of these, and have a cleantech/ sustainability idea – please apply. To apply please go to http://climatelaunchpad.org/. Participants of the programme will receive targeted coaching and support to help develop their idea, and 3 finalists will be selected at a National Final to be held on 22 June 2015, as part of the Sustainability Gathering. Gravity Centres is sponsoring the 3 months membership for each of the 3 national finalists in their new Dublin premises with a total estimated value of this prize is €10,000. The three national finalists will represent Ireland at European finals in September.

3. Pioneers into Practice – closing date for receipt of applications is 30 March 2015. This programme connects a new generation of low-carbon specialists, entrepreneurs and policy makers to share knowledge via two 1-month-long internships in six European regions. In these internships, the participants are trained in systematic innovation and will gather first-hand experience in the implementation of innovative concepts. For more information please go to http://www.thegreenway.ie/opportunities/climate-kic/climate-kic-entrepreneurship/

For additional information contact Aideen O’Hora at aohora@thegreenway.ie

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Company Car Tax Changes: The Most Efficient Cars

If you’re looking to upgrade your company car this new tax year, there are a few important things to bear in mind. You’ll need to make sure you’re looking at the most efficient cars and that you select the right make and model to fit your business needs, but you’ll also need to ensure that the tax advantages aren’t outweighed by a big initial outlay or high running costs (I’m sure you’ll agree, these are all important factors within the small or start-up business world).

Before we take a look at the options that are available to you, let’s quickly look at what exactly company car tax is…

What is company car tax?

Company car tax is payable on a certain percentage of the total value of your car as declared on your P11D form (your end of year benefits and expenses form, which your employer will send to HMRC).

The percentage you pay is based upon the car’s emissions – hence diesels have always been popular due to their lower CO2 emissions and why hybrid and electric cars are growing in popularity. If you earn £32,010 or less each year, you’ll pay 20% of this amount in tax, rising to 40% if you earn anything over that.

If you earn over £150,000 a year, you’ll have to pay 50%. This tax is usually taken directly from your monthly salary.

It’s also worth noting that there is no maximum price cap on the amount taxable on a company car.

The great fuel debate

So, given that the amount you pay in tax is defined by the amount of bad stuff your car spits out, opting for a low-emissions vehicle would appear to be a no-brainer. But it’s not quite that simple.

For instance, while diesel vehicles have always been a staple among company car and fleet buyers, they’re no longer considered to be a more eco-friendly option. Although they still emit far lower CO2 emissions than petrol vehicles, they throw out dangerously high levels of nitrogen dioxide and other lethal particulates.

And while opting for a diesel now might make sense, if proposed changes in legislation come about to help the UK meet EU pollution targets, you could find you’re hit in the pocket further down the line.

Other factors to consider

Then there is the issue that diesels often have a higher windscreen price than petrols, and this is something that becomes even more of an issue if you’re looking at buying a hybrid or an electric car. While you’ll pay less in tax due to the lower emissions, you’ll have to offset this against the upfront cost of the car to work out whether it’s worthwhile.

Furthermore, you’ll also have to check the performance and range of any electric or hybrid vehicles before you commit, as they simply may not be suitable for the type of driving you do.

The good news is there are an increasing number of low-emission petrol vehicles coming on the market – so let’s take a look at some of the best options out there…

The five most efficient company car choices

Ford Mondeo – £20,795 or £204 per month
The Mondeo has long been the number one choice for company car owners and travelling salesmen the country over, and with good reason. This is a big, practical, reliable family-sized car that is surprisingly enjoyable to drive.

Audi A6 Avant – £32,985 or £338 per month
If you’re after an executive model with enough room to carry everything but the kitchen sink around in, look no further than the smooth and sophisticated A6 estate.

Audi A3 – £18,900 or £240 per month
All the refinement of the A6 Avant – minus the load space – and much cheaper to own and run. The A3 offers a great executive alternative to the VW Golf, and is also available as a plug-in hybrid.

Skoda Octavia – £16,310 or £179 per month
If you’re not bothered by the car’s badge then you need look no further than a Skoda – cheaper than both the Volkswagen and Audi alternatives but no less sound under the bonnet.

BMW 3 Series – £23,555 or £287 per month
If you simply must have the badge to match the performance though, the BMW 3 series offers it all and has long been the go-to car for buyers who want a small, executive saloon.

If you’re looking to buy a company vehicle in the new tax year, let us know what your most important considerations are and what you’ve got your eye on in the comments.

This post has been provided by Ed Scott, who is the voice of the webuyanycar.com blog, the UK’s leading car buying service. As shown by his job and his blog. Ed has a strong passion for everything car related!

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Take a bus journey that will change your business for ever

SME engagement with universities has always been a passion of ours. We think it is underestimated how much universities could add to small business and make them more competitive and future proof.

As a result, have been asked by KTI and the Dublin Universities to look at how they engage with small businesses and particularly the ones that normally would not look at universities for ideas and support. We decided to book a bus, try to fill them with owner managers and give them access to 3 universities in one day (16 April).

The idea is that this one day will give businesses a flavour of the innovation, research and opportunities that universities have to offer and deliver a informative and interesting day. The day will include a practical information pack, (non academic) speakers, campus tours and breakfast, lunch and drinks reception. As an outcome we expect that some of the business will start engaging. Part of the follow on of the day, will be us supporting and tracking that engagement.

You can your ticket here. You need to book soon as tickets are running out (maximum 50 are allowed on the bus).

Here is sample of what is available

We blogged about it earlier here and on LinkedIn

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Five Ways to Grow Your Business

With your competition never giving you a break, it’s important to build and maintain your market share. Here are five ways to grow your business in the modern business landscape.

Organize the Budget

Making sure that your budget is in order for the next months ahead of time is one of the best ways to ensure that you do not run into any emergencies. Talk with financial experts to make sure that you aren’t missing anything with new hires or taxes. Making these simple money mistakes can be incredibly costly, keeping your business from growing.

Learn Your Competition

There are more ways than ever to monitor your competition. Using social media, review sites and keyword monitoring, you can actually see the holes in your competition’s strategy and respond to them in real time.

Learn to Invest

Investing does not only have to do money, but also with the assets in your office. For instance, if you get a coffee maker, then you save your employees the 15 minutes of having to get coffee in the morning. Some of the top companies in the world supply their employees with lunch, a gym and other amenities so that they never have to leave the premises. You may not have these kinds of funds, but you do have the ability to invest with the funds that you do have. The more that your employees focus on work rather than the little annoyances of life, the more productive that your entire company will be. Invest in things that will allow your employees to focus.

Learn Search Engine Optimization

The major search engines account for over 85% of new business these days. If you are a small business that is looking to grow, you need to make Google, Yahoo and Bing very happy with you. The great thing is that good SEO has more to do with a great marketing program then learning some kind of technical system.

Hire Organized and Experienced Employees

A person who has obtained a Master of Science in Projects online is an example of someone who prioritized learning organizational skills. Look for these types of employees, who are able to direct their efforts and talents. Project managers can really make or break a company, so it’s important to hire right. While education isn’t everything, it is important., and therefore should not be overlooked.

The five tips above will certainly give you a leg up on your competition when it comes to growing your business. However, the best tip anyone can give you for growth is to keep up with the changes in your industry and serve the customer the best that you can.

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How to Make a Business out of Selling Liquidated Merchandise

The commercial landscape seems to be making changes all the time. One business opens its doors while another turns out the lights for good. As businesses come and go, have you ever wondered what happens to all that excess inventory? Instead of wondering where it is being shipped off to and stored, it would sure be nice to know how to get your hands on it. With between 10,000 to 50,000-dollars sitting in the bank, you will potentially have all the capital you need to get into the game of acquiring and reselling liquidated merchandise.

What this essentially means is that you would not be left wondering where all that excess inventory ends up anymore, mostly because it could happen to make its way into your company warehouse. You could be fast on the track to starting and running your own merchandise liquidation business. According to SBA.gov, individuals looking to close shop should inventory, assess, and prepare merchandise for a liquidation process. This means that a savvy reseller could really find huge stores of products inexpensively.

Selling Liquidated Merchandise

If you are interested in selling liquidated merchandise, then you should be aware of a couple of angles to this lucrative business model. The first idea is to actively purchase and resell merchandise that failing businesses are trying to get rid of as quickly as possible. This means you have to do the leg work to figure out who is in the process of liquidating their store and then how to unload the product once you have purchased it. This is not difficult to do if you already have buyers lined up. This means you will want to spend a considerable amount of time developing business-to-business relationships to be able to unload product as quickly as it comes in to your warehouse.

Alternatively, once you have gotten to know other people in this industry doing the same thing, you could forge relationships with other purchasers. In this business approach your goal is to convince these individuals to allow you to resell their stock for them. In this situation, you end up with a constant supply of merchandise. All you have to do is be excellent at reselling the product and collecting a commission for getting the job done. Again, forging relationships with other retailers ready to buy at wholesale prices will help to keep the merchandise moving along.

Offering Drop Shipping Options

Another way to generate orders for merchandise you are attempting to resell is to offer buyers the option to have product drop shipped to their customers. In this scenario, other people are moving your product for you and you do not have to pay any hefty marketing costs. With enough people placing regular orders, you will be able to generate excellent resale rates with minimum advertising efforts on your part. There are numerous online sellers who would rather not have to reship product; consequently, if you take care of all the shipping for them, this makes their life easier. This type of symbiotic relationship is really a win-win for everyone involved.

What Type of Merchandise Should I Purchase

When it comes to purchasing large lots of liquidated merchandise from a commercial source, it is important to steer clear of perishable items. Sometimes merchandise does not resell as quickly as you might hope; consequently, perishables are a huge liability in the merchandise resell industry. Items, such as power tools, appliances, mobile devices from Directliquidation.com, and other consumer electronics and collectible toys are prime items that you will undoubtedly be able to get top dollar for from eager buyers.

It is important to consider that items that are trendy today may not be all that trendy in a few months or longer. When it comes to trendy items, it is important to have sound judgment. You have to know that you can move these products in a reasonable amount of time to justify the purchase of such items. This can make clothing items, for example, a difficult prospect. That is to say, unless you truly are quite a fashion buff. In such a case, experience will be a priceless commodity.

Selling Your Inventory Direct Online

One of the ways to move product quickly is through a merchandise liquidation website. Direct sales to customers online will provide you with a much larger customer base. In addition, you can break up stock orders into more manageable sizes and charge a bit extra on the shipping for each lot of product being resold.

This can add up and allow you to accumulate substantial profits in a short amount of time. It is important to not overprice entire lots of product, making it accessible to be purchased by other buyers at a perceived discount. Remember, when it comes to liquidating merchandise, it is best to find the price that moves the product fast while still realizing a significant profit. Product that sits on your shelves for too long of a time is generally costing you money as it is taking up valuable warehouse space.

Liquidated assets from commercial businesses are turned out on the open market every day. Those who take the time to identify commercial interests unloading their merchandise stand to have access to product at below wholesale prices. While there are an endless number of buyers ready to acquire this product at or slightly below retail value, this business is intended for the few who take the time to understand how to take advantage of the vast stores of product that are being offered to the highest bidder.

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Small Business Can Workshop

With our recent partnership with The Smart Business Show we are providing you with exclusive discounts to attend the show and also to exhibit. We will also be running a dedicated workshop for our members at the show.

Workshop Title: Panel Discussion SMEs and Public Tendering

SMEs and public tendering, is there any point. Public tendering for SMEs is an issue. The opportunity cost are very high and the chance of success is low. What to do?

This workshop will be a panel discussion on public tendering with a number of experts and SMEs on tendering. Lessons learned, what no to do and the stories of success and failure.

Outcomes:

A better understanding of public tendering
Opportunity to engage with people who have been there and bought the T-shirt

Speakers

Ross McCarthy
Managing Director at Keystone Procurement
Ross is an entrepreneur, business advisor and strategist that has worked with businesses of all sizes for over 15 years.Ross helps businesses achieve their commercial and organisational objectives and has a particular interest in Procurement, Tendering and Bid Management and Project Management.

Tony Clarke
Owner of Kendlebell Naas
Tony and his team at Kendlebell Naas place a heavy focus on delivering exceptional customer service to each and everyone of their clients whether they are in the SOHO , SME or Multinational sectors.

Tony Corrigan
CEO of TenderScout
Tony is Founder and CEO of TenderScout, a competitive intelligence SaaS that accelerates sales and increases revenues from public procurement competitions. Tony’s background comprises software development, enterprise sales, IT management and procurement consultancy. He started out with IBM and set up his first consultancy company, KOMINO in 2003.

Workshop Moderator

Ron Immink
Co-founder of Small Business Can
Ron was hired by Ulster Bank/RBS to develop www.smallbusinesscan.com, a free and open platform where owner managers can create and share the business knowledge.

Where and When?

Date: 22nd April 2015
Time: 13.30am
Duration: 1 Hours
Location: Workshop 2, RDS, Dublin
You can register for your place below;

Learn more about the Smart Business Show here.

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DCU sustainability hub

Universities can make you more future proof

SME engagement with universities has always been a passion. We think it is underestimated how much universities could add to small business and make them more competitive and future proof.

3 universities in a day

As a result, we have been asked by KTI and the Dublin Universities to look at how they engage with small businesses and particularly the ones that normally would not look at universities for ideas and support. We decided to book a bus, try to fill them with owner managers and give them access to 3 universities in one day (16 April). The idea is that this one day will give businesses a flavour of the innovation, research and opportunities that universities have to offer and deliver a informative and interesting day. The day will include a practical information pack, (non academic) speakers, campus tours and breakfast, lunch and drinks reception. As an outcome we expect that some of the business will start engaging. Part of the follow on of the day, will be us supporting and tracking that engagement.

DCU sustainability hub

For example DCU has a sustainability hub. Here is Stephen Daniels, the head of the sustainability hub talking about some of the research:

The hub drives scientific and social science research, technology development and innovation which supports sustainable development in both industry and the environment. Expertise includes advanced manufacturing, environmental monitoring, water technologies and energy systems.

DCU research aims to discover new science and technologies that meet the needs of the present without compromising the ability of future generations to meet their own needs. These discoveries will help companies to design sustainable products and services, miniaturise components, source renewable materials, integrate ICT, reduce the cost of production and transport by using alternative low cost energy resources – resulting in more sustainable businesses. Environmental research is focussing on monitoring and managing renewable resources such as water and developing advanced science and technologies to harness new resources for energy. All interesting business opportunities.

Stephen Daniels

Here is Stephen Daniels, the head of the sustainability hub talking about some of the research

Here is a link to event brite if you want to join us http://www.eventbrite.ie/e/visit-3-universities-in-one-day-tickets-15872746813

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QRVO Delivering Your Business Message Better

QRVO, Quick Response Voice Over, is an unusual and yet, simple, piece of technology. The original QR, Quick Response, code, was originally developed by Denso Wave, a Toyota subsidiary, as an industrial function in vehicle assembly operations. The alphanumeric, high capacity barcode, has been re-engineering to now include a professionally recorded voice over, and combined with Analytics, offers an abundance of consumer friendly applications.

The QRVO code, can be scanned with Smart Phones and Mobile Devices. There is not a requirement to log in, no URL, no password, and content is nearly immediately available. The content, text, graphics or video, can be a special offer, directions, event/product details, call to action, voucher, notifications.

QRVO codes are effective from stamp size to 48 sheet poster. The client, those in the advertising, branding and promotional sectors can opt to deploy codes on Business Cards, outgoing mails, voucher, loyalty card conventional publications, signage, and packaging.

Clients can include Analytics to monitor the number of scans, and measure, the success or otherwise of campaigns. While the QRVO code remains intact, the content can be altered remotely to match changing market circumstances.

Varied applications

Applications are both wide and varied. In an effort to assuage the negativity about parking charges, QRVO may offer a partial solution.

QRVO codes can be overprinted on parking tokens. The QRVO code can present special offers, discounts to the hard pressed motorists. The initiative may not be a total panacea, but can offer a different, and more acceptable, value to parking charges.

QRVO also offers an information point for the tourism and trekking sector. Visitors can scan information points and, linked to dedicated web content, can log onto local history, Flora and Fauna, and directions to further places of interest.QRVO information points are available as a multi lingual option.

The QRVO can also be included in or on packaging. Producers can utilize video content on a QRVO code to further enhance product details or production processes.

Customer updates and e-zines can now be included on key rings and that information can be regularly updated. The once humble business card now becomes an information point, where additional product or company details are included in an overprinted card. The fashion sector can embrace effective innovation by including QRVO based video on fashion tips, alternative styles and colours.

Signage/Posters can offer text, graphic or video enhancement of the company or its products/events.

QRVO

QRVO clients simply submit the required voice over content and suitable web link or graphic. Our design team will revert with a proof and seek final client confirmation. The finished product is presented in a print ready format. QRVO is non-intrusive, does not require user details and does not impact on data protection requirements.

The original QR code was developed by Denso Wave, Toyota. The current QRVO code was developed in Mayo, to include a professional voice over and added Analytics.

Developer John Moran says “In developing the QRVO code, we looked to Image, Impact, Information and Innovation. We believe we now have a product to meet the criteria. Smart Phones and iPads have in built scan facilities. Users do not require high skill levels. The professionally recorded voice over is consumer friendly. The client has the option to change content and to monitor the effectiveness of the campaigns. QRVO codes can provide a cost and operationally effective information channel.QRVO campaigns can also incorporate Social Networks as an added impact This development has evolved after much trial and error over the past number of years.” QRVO is designed to deliver YOUR business message BETTER.

To see how your company can avail of a free QRVO audit, please forward details to info@qrvo.ie.

Witten by John Moran | QRVO Business Development info@qrvo.ie 087 25 27 407. As part of ‘Use SBC as a channel initiative, QRVO has a special 10% discount on Standard QRVO orders to SBC members and readers.

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Top 5 Tips on Negotiating Your Commercial Real Estate Purchase

Most people consider commercial real estate investments and negotiating for property to be tricky business.

So you’ve started your own business and are looking to buy a decent office space at a reasonable price?

I’m sure you would agree if I said that there are very few things that feel better than earning a great bargain. And if that bargain involves landing a hot piece of real estate at a posh location at rock-bottom price, you’ll surely be in seventh heaven.

The trick to bagging a great deal lies in the art of negotiating. Of course, there is a world of a difference between negotiation and effective negotiation.

Most people consider real estate investments and negotiating for property, especially a commercial one, to be tricky business. That’s usually because there is so much to consider.

Factors such as the selling and the market price of the asset, the tenancy, the leasing terms and so on, would make anyone nervous about proceeding ahead. However, you can turn all these elements into opportunities to negotiate a better deal.

This post presents a few tips on the things to consider when working through the complicated web of negotiations and using them to achieve not only a lower price, but also better purchase terms.

Be Aware of the Current Market Trends

Staying abreast of the current local market will make you confident when meeting with the seller/developer. Before you take him to the negotiating table, do a thorough research of the market trends by scanning through similar properties in the area and finding out their prices.

You should also be aware of the period for which the property has been up for sale. If office spaces within a commercial project have remained unsold for a prolonged period of time, the builder will be keen to strike a deal.

Do not be in a hurry and analyze the prices well. Find out what the initial price was and enquire about the current price trends from local brokers, who will be able to give you an idea of how much you can get knocked off. Getting in touch with an existing customer of the builder should get you the real picture of what you can expect from the builder.

Remember, knowledge of the cash-flow situation of the builder as well as the numbers of pending units are the two factors that can play a major role in the negotiation process. Developers who are cash-strapped and have a large unsold inventory will prefer to make the sale to generate cash.

Making an Offer

Developers tend to offer discounts only when they feel that the buyer is serious. Hence, once you get an idea of the discount, make an offer and let him know that you’re looking to buy quickly.

Spare some time to check out other similar properties in the locality and let their developers know you’re looking to buy and will close if you get a good deal so they can offer you their best prices.

Once you’re equipped with the quotes, let the developers know your offer. Make it known to them even if you aren’t sure of its acceptance. Some developers refrain from beginning the negotiation till customers give an offer.

If the sales figures in the area have been heading south and there are large number of available and unsold properties, bring it to the developer’s notice. Selling at lower prices can work in his favor as it will save him the funding cost and procure cash for new projects.

Money Talks

Developers are more responsive to those who can convince them that the cash to buy the property is ready and an upfront payment can be expected.

It makes sense to go for a pre-approved loan and show the related documents to the developer to prove that you’re serious about the deal, which will make him pro-negotiation.

Additionally, if you have excess funds to make a down payment, you can do so and negotiate for further price reductions.

Using Arbitrators

If you feel you haven’t been able to do enough research, or are not sure about the trends in the property market and the projects in your preferred area, you can take the help of a real estate broker. A good broker can crack the deal for you, but his services will come at a cost, which makes it all the more important for him to add value to the buying process.

However, even when approaching developers through brokers, do make it a point to do your homework and price enquiries. This way you can be sure that the broker is working with your best interests in mind, instead of trying to earn a fat commission by quoting higher.

You can also look up a few property websites and check out the packages on offer by several builders, which may include a discount. However, more often than not, such packages do not offer room for further negotiation.

You could also consider combining forces with other prospective buyers as that will help you negotiate better.

Offer a Realistic Price

Whichever method you choose to bring the seller to the table, do negotiate for a rational and realistic price. While they will be willing to negotiate with you, they will not reduce the prices below a certain point. In fact, they’re more likely to offer incentives such as free club memberships, or family trips, etc.

Most developers do not like to bargain, so be prepared to put forth all your points in a single offer and place the ball in their court. If they do not reduce the prices, let them know you will take some time to evaluate their offer and then decide.

Do not rush into the best deal offered to you. Wait for a week or two and don’t be surprised if you hear from developers keen on closing the deal at your price or a mutually agreed-upon lower price.

Conclusion

Buying real estate may be one of the biggest financial commitments you will make. It is, therefore, important for you to fortify your position and have the upper hand in the buying process. This can be done through negotiation. Having strong negotiation skills and using them tactfully can go a long way in helping you secure a property in a way that is more feasible for you, which will not only save you money upfront, but the consequent interest payments as well.

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