5 Steps to Negotiate Confidently With Tough Clients

Entrepreneur

a day ago

Negotiation should never be a battle. Follow these steps to shift your mindset and negotiate with confidence.
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If you're a founder, freelancer or small business owner, chances are you've had at least one sales conversation go sideways — and maybe more than you'd like to admit. After presenting your offer enthusiastically, the client counters with a laundry list of demands, challenges your pricing or continues to push for more without giving an inch in return.
Sound familiar?
In our work delivering sales training for entrepreneurs and small business owners, we encounter this scenario all the time. Many founders tell us the same thing: "I didn't start my business to be in sales." And yet, selling and negotiations are critical to your business's growth and survival.
The good news? You don't have to be a high-pressure closer or a natural-born negotiator to succeed. You just need a simple shift in mindset and a few proven techniques to put you in the driver's seat.
These five steps will work with even your toughest clients.
Related: Negotiation Basics: 8 Common Questions and Answers
Step 1: Don't negotiate too early
One of the biggest mistakes I see small business owners make is negotiating before the prospect is sold on the value of the solution.
Consider negotiation as the final step in achieving an agreement, rather than the starting point. If you start negotiating before the client is fully convinced that you're the right solution, you may end up giving away discounts, setting yourself up for scope creep or agreeing to unfavorable terms without receiving much in return. Even worse, you'll appear uncertain, and uncertainty kills deals.
Instead, wait until you've qualified and engaged your prospect and you have demonstrated clear value for your offering. That's your cue to shift the conversation toward finalizing the deal, rather than defending your worth.
Step 2: Define a "win-win" outcome before you talk numbers
Most founders want to be flexible and collaborative in negotiations, but that only works if you know what you need from the deal.
Before any negotiation, get clear on:
What's non-negotiable (e.g., your minimum price, legal terms, scope boundaries)
What's flexible (e.g., payment terms, timelines, minor add-ons)
What a "win" looks like for both sides
A win-win outcome means both parties walk away with value. That might mean agreeing to a slightly lower price in exchange for upfront payment (a trade-off) or offering an extra revision round at no cost (an embellishment) to sweeten the deal without hurting your margins.
Being prepared gives you confidence and gives your client clarity.
Step 3: Don't let personality hijack the process
I once worked with a creative agency founder who felt bulldozed in negotiations by a demanding corporate client. Every request came with a condescending tone. Every "no" was met with pushback. The founder was ready to give up the deal entirely — until we made one important distinction: the difference between the person and their position.
Negotiation is emotional, but it doesn't have to be personal.
If a client challenges your pricing or scope, they're advocating for their business, not attacking yours. Detaching emotionally lets you respond strategically. Instead of reacting to tone or attitude, stay grounded in the value of your offer and the structure of your deal.
Related: Negotiation Skills for Entrepreneurs — How to Craft Deals Like a Pro
Step 4: Use the power of trade-offs, embellishments and compromises
Every negotiation involves three variables:
Deliverables
Terms and conditions
Price
The key is to balance all three without caving on what matters most.
Let's say a client asks for a 20% discount. Instead of saying yes or no outright, respond with a trade-off: "We can offer a reduced rate if we simplify the scope or shift the timeline." Or offer an embellishment: "Let's keep the proposed rate, but I'll add in a 30-minute strategy session post-launch."
If you do need to compromise, do it intentionally and not reactively. Find the middle ground that protects your business while still moving the deal forward.
Step 5: Know when to walk away
No one likes losing a deal. However, chasing the wrong deals or closing them on bad terms can be even more damaging.
If you've qualified the prospect, demonstrated your value and offered reasonable flexibility — and they still demand more than you can give — it's okay to walk away. It's often the smartest move you can make.
One solopreneur I coached stood firm on her pricing after weeks of negotiation. The client walked away, but returned two months later, ready to sign at full price. Why? The seller knew her worth, and the buyer discovered that as well.
Related: 5 Negotiation 'Don'ts' That Must Be Avoided
You're not selling, you're solving
Negotiation should never be a battle. Instead, view them as a conversation about alignment. When you focus on solving your client's problems and the value you bring to the table, you stay centered, credible and in control.
If you want to grow your business, scale your agency or simply feel more confident in sales conversations, you don't need a slick pitch. You need a framework for value-based selling that works for you — especially if you're an introvert, a creative or someone who doesn't see yourself as a traditional salesperson.
Negotiating with tough clients becomes easier with the right mindset and tools. Start with preparation. Lead with empathy. Stay grounded in your value. Remember: Sustainable revenue growth is not about how many clients you win, but how you win the right ones.