Patti Wilson, The Career Company
Standing room only
An audio version of the meeting will be available at www.PlayOnDemand.com

Salary Negotiation: The Fine Art of Getting What You Want

New Negotiation Paradigm: Old Economy=company buys skills; New Economyh=company sells opportunities

People are more self-reliant; they don't rely on companies. Companies are offering themselves to you (stock options, etc.). Before you were always at the mercy of employers. The playing field is now more level.

21 months is the average length of jobs in Silicon Valley. There's a talent shortage right now. Finding a job is about selectivity, not adaptability. You must be clear and focused when you begin negotiating.

The Seven Step Career Model. Additional notes:

1. Purpose - what you want out of the job
2. Position - target job that is best fit
3. Save the silver bullets (do some practice interviews at places you're not considering--then go to the interview you want).
4. Draw a professional line with friends. (friends already know your salary and work history)

1. When
2. How
3. What

Second round interview - when they ask you if you have questions, question like a buyer. (She said there is a list of questions to ask at interviews at her Website, but I can't find the link.) Use that time to see if the job is a fit for you. Shows you're looking at their company with selectivity.

How To Negotiate

Set the tone
Determine the company's style
Base discussion on your worth (not current salary)
Establish a win-win relationship
Negotiate compensation not salary (compensation=stock options, sign up bonus, parachutes)
Start with the little stuff, builds a habit of them saying yes
Put everything in writing (keeps everything clear on what was agreed upon)

Tip: Appear motivated, you want to work at their company, but you're considering other offers
Tip: Ask what the hiring time frame is because you're looking at other companies

What to Negotiate

Time (if you want to work part-time, etc.)
Circumstances (company car, telecommuting, etc.)
Money

About Those Options

How much should you get? Based on company and position
Vesting period (how long is it going to take to own 100% Cisco 3 years; Sun 5 years)
Exercising early
Accelerated vesting

Assessing the Risks and Rewards of a Start-Up

Management Team (where did they come from, how will you fit in)
Competitive Advantage (is their product viable?)
Market and Timing (do research and assess the market)
Business and Revenue Model (Executive summary, business plan--does it make sense; do they have the staffing or will you be spending many hours working)
Profitability Timeline (are projections realistic)
VC and Funding Source (who's funding company; the earlier in the funding process, the fewer the people, the greater the risk)

Investor Words. Companies like if you know the terminology. She also said that she had a list of questions to ask about a start-ups financial status, but I can't find the url on her site.

Resources to Research Salary and Options

careercompany.com
jobstar.org
Investor Words
The Internet Standard
"Getting To Yes" - Fisher and Ury
"Stock Options" - Pastore (definitive book on stock options)

Rules of the Road

Packaging is everything.
Always take the stock and the money
Buyer beware
The 21 month rule (when you get a job, start investigating your next job)