Winning Through Intimidation

1. Recognize reality: The business world is a jungle, not a playground

Reality is neither the way you wish things to be nor the way they appear to be, but the way they actually are. Either you acknowledge reality and use it to your benefit, or it will automatically work against you.

The business world is ruthless. It operates more like a jungle than a nursery school playground. This reality can be harsh and unpleasant, but acknowledging it is crucial for success. Many people cling to idealistic beliefs about how business should work, leading to repeated disappointments and failures.

Key aspects of this reality include:

• People primarily act in their own self-interest
• Deals often fall apart at the last minute
• Verbal agreements are practically worthless
• Even seemingly honest people may try to take advantage of you

Recognizing these truths allows you to prepare and protect yourself accordingly. It doesn't mean you should become ruthless yourself, but rather that you should approach business dealings with a clear understanding of the environment you're operating in.

2. Understand the three types of people in business dealings

There are only three types of people in the business world (with the one exception noted above), as follows:

Know your counterparts. In business dealings, you'll encounter three main types of people:

1. Type Number One: Openly declares their intention to get the best deal for themselves, then follows through.
2. Type Number Two: Assures you they won't take advantage of you, then does exactly that.
3. Type Number Three: Sincerely believes they won't take advantage of you, but circumstances lead them to do so anyway.

Understanding these types helps you:

• Anticipate potential problems
• Prepare appropriate strategies
• Avoid being caught off guard by seemingly friendly individuals

Remember, the outcome is the same regardless of intentions. Always be prepared for any of these types to attempt to "grab your chips" when the deal is on the line.

3. Develop a strong posture to avoid intimidation

It's not what you say or do that counts, but what your posture is when you say or do it.

Project confidence and authority. Your posture – the way you carry yourself and are perceived – is crucial in business dealings. A strong posture helps prevent intimidation and increases your chances of success.

Elements of a strong posture include:

• Projecting an image of success and expertise
• Being well-prepared and knowledgeable
• Having the necessary legal tools in place
• Demonstrating a willingness to walk away from bad deals

Developing a strong posture takes time and effort, but it pays off by:

• Reducing attempts to take advantage of you
• Increasing respect from counterparts
• Improving your negotiating position

Remember, perception often matters as much as reality in business. Cultivate an image of someone who deserves respect and fair treatment.

4. Master the five steps of selling, especially getting paid

Closing deals is so much trash, If you, my friend, don't get no cash.

Focus on the ultimate goal. The five steps of selling are:

1. Having a product to sell
2. Locating a market
3. Implementing a sales strategy
4. Closing the sale
5. Getting paid

While all steps are important, many salespeople and entrepreneurs neglect the crucial final step: actually receiving payment. It's not enough to close a deal; you must ensure you get paid what you're owed.

Strategies for getting paid include:

• Having clear, written agreements
• Maintaining control of deal momentum
• Being prepared to take legal action if necessary
• Not releasing final documents until payment is secured

Remember, a sale isn't truly complete until the money is in your account. Don't celebrate prematurely or let your guard down before securing payment.

5. Use legal tools and image power to protect your interests

With a written agreement, You have a prayer; With a verbal agreement, You have nothing but air.

Secure your position. Protect yourself in business dealings by combining legal tools with a powerful image. This two-pronged approach helps prevent others from taking advantage of you.

Essential legal tools include:

• Written agreements detailing all terms
• Proper licensing and certifications
• Certified mail for important communications

Image power can be cultivated through:

• Professional presentation materials
• Demonstrating expertise and knowledge
• Projecting confidence and success

By combining these elements, you create a formidable defense against those who might try to shortchange you or renege on agreements. Always be prepared with the necessary documentation and project an image that commands respect.

6. Implement the Leapfrog Theory to accelerate your success

No one has an obligation—moral, legal, or otherwise—to "work his way up through the ranks." Every human being possesses an inalienable right to make a unilateral decision to redirect his career and begin operating on a higher level at any time that he, and he alone, believes he is ready.

Skip unnecessary steps. The Leapfrog Theory encourages you to accelerate your success by moving directly to a higher level of operation when you're prepared, rather than following a traditional, step-by-step career progression.

Key aspects of implementing the Leapfrog Theory:

• Assess your skills and knowledge honestly
• Identify opportunities at higher levels
• Prepare thoroughly for the leap
• Project confidence in your new position

Benefits of this approach include:

• Faster career advancement
• Increased earning potential
• Greater opportunities for growth and learning

Remember, you don't need anyone's permission to operate at a higher level. If you're prepared and confident, make the leap and refuse to acknowledge limitations others might try to impose.

7. Apply the Theory of Next to maintain a positive mental attitude

The key to maintaining a positive mental attitude is to recognize that no one deal is that important. The person with a true positive mental attitude possesses the power to say "Next!" and quickly move on to the next deal when things don't work out.

Embrace resilience. The Theory of Next is crucial for maintaining a genuinely positive attitude in the face of setbacks. It recognizes that failure is an inherent part of business and that no single deal should make or break you.

Implementing the Theory of Next involves:

• Emotionally detaching from individual outcomes
• Always having multiple opportunities in the pipeline
• Quickly moving on from failures or disappointments
• Learning from each experience without dwelling on it

Benefits of this mindset include:

• Reduced stress and anxiety
• Increased persistence and resilience
• Improved long-term success rates

By embracing the Theory of Next, you create a sustainable approach to business that allows you to weather inevitable setbacks and maintain forward momentum.

8. Beware of the Attorney Goal Line Defense in deal closings

What really carried the day for me was that I was actually able to pull it off without cracking a smile, notwithstanding the fact that I was chuckling inside.

Anticipate legal obstacles. The Attorney Goal Line Defense refers to the tendency of lawyers to create last-minute problems that can derail deals just before closing. Understanding and preparing for this phenomenon is crucial for successfully completing transactions.

Strategies for overcoming the Attorney Goal Line Defense:

• Anticipate potential legal issues in advance
• Maintain a calm, matter-of-fact demeanor
• Frame "problems" as routine "points" to be handled
• Be prepared to quickly resolve issues that arise
• Use the buyer's or seller's desperation (if present) to your advantage

Remember, attorneys are often incentivized to find problems rather than solutions. By preparing for their interventions and maintaining a strong posture, you can increase your chances of successfully closing deals despite legal obstacles.

9. Navigate the Boy-Girl Theory and Better-Deal Theory in negotiations

Everyone wants what he can't have, and does not want what he can have.

Understand human nature. The Boy-Girl Theory and Better-Deal Theory highlight key aspects of human psychology that affect negotiations and deal-making.

Boy-Girl Theory:

• People desire what seems unavailable or in demand
• Creates sudden interest as deals near completion
• Can be used to generate urgency or competition

Better-Deal Theory:

• People worry about missing out on superior options
• Causes hesitation or second-guessing near closing
• Can lead to deal-breaking delays if not managed

Strategies for navigating these tendencies:

• Create a sense of scarcity or competition when appropriate
• Address "what if" scenarios proactively
• Emphasize the risks of delaying or losing the current deal
• Be prepared to walk away if necessary

Understanding and leveraging these psychological factors can help you maintain control of negotiations and push deals to completion.

10. Take control of deal momentum to combat the Fiddle Theory

The longer you fiddle around with a deal, the greater the odds that it will never close.

Maintain urgency. The Fiddle Theory highlights the dangers of allowing deals to drag on too long. As time passes, circumstances change, new obstacles arise, and the likelihood of closing diminishes.

To combat the Fiddle Theory:

• Set and adhere to clear timelines
• Address issues and obstacles promptly
• Take personal responsibility for moving the deal forward
• Be prepared to handle all aspects of the transaction
• Create a sense of urgency among all parties

Benefits of maintaining deal momentum:

• Reduced chances of deals falling apart
• Faster completion of transactions
• Less time wasted on ultimately unsuccessful deals

Remember, time is often your enemy in business dealings. By taking control of deal momentum and pushing for swift resolution of issues, you increase your chances of successfully closing transactions and getting paid.

Last updated: May 1, 2025