Having narrowed down possible candidates to a short list negotiate an agreement and set-up the relationship.

 

Basis for the negotiation

It is good to have a common base with the candidate(s) you are going to negotiate the wanted cooperation agreement.

The common base could be described in a term sheet form and list what the the wanted business relationship should look like based upon the Business Model for the cooperation you are looking for.

The Negotiation

The negotiation should in principle if you have done a good analysis and preparation work be straightforward and focus on clarifications and finding key points where you have a misalignment.

Finding a common ground or not will decide if you can go on to the final round to set the financials in place such as discounts, commissions etc. 

Setting up the relationship

The activities to Set up the Relationship depends of course on what type of relationship it is. Typically the setup and the first launch needs to be done quickly in order to leverage the relationship commercially.

 

Technology Sourcing

The company who owns the product and channel to the market decides the pace and publicity externally.

Internally there must be a delivery, validation and knowledge transfer according to the agreed procedures. Supply and Support procedures needs to be set-up.

 

Reselling

The company who owns the channel to the market needs to decide the pace and publicity but in general there is an advantage to share the cooperation with others in a controlled manner.

Internally there must be a delivery, validation and knowledge transfer according to the agreed procedures. Supply and Support procedures needs to be set-up. In addition Marketing and Sales information needs to be transferred to the channel partner.

Market Cooperation

Both companies have in general the same interest to share the cooperation with the market in a controlled manner. However most likely there should be some prerequisites like validating the joint value before making it known.

Internally this means that a validation needs to be done as well as agreeing and exchanging Marketing Information.

Technology Cooperation

Both companies have in general the same interest to share the cooperation with the market in a controlled manner. However most likely there should be some prerequisites like validating the joint value before making it known.

Internally this means that a validation needs to be done as well as agreeing and exchanging Marketing Information.