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Stripped of perfunctory niceties, business is war, and everydeal is a hostage exchange. So make sure you get what's comingto you by mastering these six laws of money.
1. Money sooner is better than money later. Eliminate therisk of not getting paid by getting your money upfront. This alsotests whether the other side is serious.
2. Go to the source. Paul could wait until Johngets cash from Peter, but if I were Paul, I'd rather call Petermyself. The names may be confusing, but the lesson's simple: Goupstream.
3. Get the best money you can. Cash beats a check, and acertified check beats a personal one. And anything beats averbal IOU.
4. Don't spend money you don't have. If relyingon outside financing, don't commit to pay anyone else untilyou're sure your financier will step up to the plate.
5. Don't throw good money after bad. If you'refooting the bill, reserve the right to pull the plug.
6. Get the right to offset. Savvy buyers won't payeverything when a deal closes. They insist on the right to holdback money to cover against future problems.
A speaker and attorney in Los Angeles, Marc Diener is authorof Deal Power.
