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The dumbest way to waste legal fees
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I’m closing a real estate deal in the range of millions. Still, people around the deal are discussing $150 fees. It doesn’t make sense to me. It shouldn’t make sense to you either. The discussion around that fee is not worth more than 2 or 3 words in a lost sentence. Not in a deal like this. Think about it. If you don’t have room in your model to accommodate $150, you probably shouldn’t be doing this business. If your lawyers don’t see the waste of time and money involved in discussing $150… You should change lawyers. Now. Now change a couple of million dollars for a couple of billion. Big piece of infrastructure. Massive contract. Thousands of pages. And then… Discussions ad nauseam over a few thousand dollars. “They will claim it afterwards.” Look. Same disease. Different patient. If you believe your builder will game the system over a few thousand dollars in a $2 billion deal… Please, choose another builder. And if you are the builder… And you are seriously worried about a few thousand dollars in a $2 billion deal… You should probably change career path. Or business. Or both. Contingencies in these contracts should cover things that are business as usual. That’s why they exist. If you spend $10k in lawyers discussing a risk of roughly the same amount… There is something wrong with you. And now you’re probably laughing. But this is more common than drinking too much after financial close. It happens everywhere. Why? Lack of leadership. Lack of experience. Lack of understanding of the big picture. The adults are not in the room. At least not yet. And when the adults are not in the room, the children start fighting over coins. If you don’t want to look dumb when you’re parachuted into the room… You should check the last lesson of The Room. Click below. ​The Room​ PD 1: If you liked this email, don't keep it in secret and forward it to a friend. They will thank you enormously one day. PD 2: If somebody has sent you this email and you want to receive emails like this yourself, visit vicentevalencia.com PD 3: If you want unsubscribe, click the link below. |
Vicente Valencia
Weekly insights on how to perform when it matters | High-stakes decisions. Real situations. No BS. | 👇JOIN +2k readers 👇
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