Stage 6 of 9
The offer
An offer is rarely a single number. It is a structure, and the structure decides what actually arrives and when.
The four questions
- How much is paid at completion, without conditions
- What is deferred, over what period, and secured by what
- What depends on results, and who measures them
- What is expected from the owner after the transfer, and for how long
Comparing two offers
| Offer A | Offer B | |
|---|---|---|
| Headline | Higher | Lower |
| Paid at completion | Half | Nearly all |
| Result dependent | Substantial | None |
| Owner stays | Two years | Three months |
Which of these is better depends entirely on what the owner wants next. There is no general answer, and advisers who give one are answering a different question.
Conditions
Most offers are subject to an investigation and to funding. Both are normal. What matters is whether the funding is confirmed or hoped for, and whether the investigation has a defined scope and an end date.
Responding
An offer does not need an immediate answer, and a considered response two days later costs nothing. What does cost something is a counter-figure given in the meeting without the reasoning behind it.
What matters is not the number on the first page but what is certain, when it arrives, and what has to be done to earn it.