Yahoo has been in the news lately for its trouble striking a deal. Yahoo had been the target of deals with such giants as Google as well as Microsoft, with Microsoft offering a $47.5B takeover, and Google working advertising deals (an avenue Yahoo is struggling with).
Needless to say, Yahoo did not work both of the deals. Then, later this year Microsoft said they were no longer interested in Yahoo.
Finally, I just read that Yahoo’s co-founding CEO Jerry Yang has resigned from his position.
Ok, so what does this have to do with you?
It teaches us a lesson.
When deals are on your plate, you SHOULD look at them. Let me make a quick note here though, I am not referring to record deals (though you should look at those, with an attorney). I am referring to contacts that may come your way wanting you to work with them. Too many times people strike down “deals” with people willing to work with them. Now, there are a lot of people out there who may just want your money, so be careful.
When evaluating deals you should always look at the following:
- What do you get out of the deal?
- What are they getting out of the deal?
- What kind of investment (if any) is required?
- Who is attempting to make the deal?
- Where is this person located?
- When are the requiring your time?
- How will this deal affect your time?
Each of these should be done in depth, of course, but by following these simple guidelines you are giving yourself a better shot of finding a proper partner.
Don’t forget to also consult your team! They are there because you trust them, and they work hard! Plus, if you have selected a proper team, they will give you their No BS opinion.