How to negotiate with suppliers and keep a good relationship

Negotiation is not about fighting. It is about reaching an agreement that works for both you and your supplier. Calm preparation helps you get better terms.

Do your homework

Compare prices from at least two or three suppliers, and know the quality, delivery time and payment terms they offer. Know your own budget and how much you can order.

Think beyond price

• Discount for larger or repeat orders
• Free or cheaper delivery
• Time to pay, for example part now and part later
• Return or exchange for damaged goods
• Priority when stock is short

Build a relationship

Pay on time, communicate clearly and be honest about what you need. Suppliers often offer better terms to people they trust.

During the talk

1. Start friendly and explain what you want to buy over the next few months.
2. Ask questions and listen to their limits.
3. Make a clear, reasonable offer.
4. Be ready to walk away politely if the deal does not work.
5. Confirm the final terms in writing or by message.

Avoid common mistakes

Do not lie about other offers, and do not push a supplier so hard that they cannot make a profit. Do not pay large amounts to a new supplier before you have checked who they are.

Review regularly

Compare your supplier's prices and quality every few months and keep notes of any problems.

Written by the EarnNaija team at EarnNaija Digital Technologies. Tips are general guidance, not financial or legal advice.

This article is general information, not financial or legal advice. Earnings are never guaranteed. See our fees page for the exact costs.