BATNA Worksheet
A 10-minute prep sheet that forces you to name your walk-away alternative — and estimate theirs — before you ever sit down to negotiate price or terms.
What's inside
- Clear definition of BATNA and why skipping this step costs margin
- Step 1 — defining your own best alternative and its real value
- Step 2 — setting your reservation price / walk-away point
- Step 3 — estimating the buyer's BATNA and how strong it really is
- Side-by-side comparison table
- A leverage scoring formula with three concrete strategies by score band
- A red-flag checklist for when you're about to negotiate blind
Best Alternative To a Negotiated Agreement — 10-Minute Prep
Fill this out before any call where price, scope, timeline, or contract terms will be negotiated. If you don't know your walk-away point going in, the buyer will find it for you, live, on the call.
Step 1 — Define YOUR BATNA (2 min)
If this deal falls through, what actually happens instead?
- Your realistic next-best alternative if this deal doesn't close (another prospect in pipeline, holding the slot for next quarter, walking away entirely): ___________________________
- Realistic value of that alternative (deal size × probability × timing): $ _______
- What keeping this deal alive is costing you elsewhere (time, discount precedent, team capacity): ___________________________
Step 2 — Set your Reservation Price / walk-away point (3 min)
- Absolute minimum price/terms you'll accept before this deal becomes worse than your BATNA: ___________
- What specifically makes it worse than walking away (margin below X%, term under 12 months, no reference rights)? ___________________________
- Your target price/terms — not the walk-away, the number you're actually aiming for: ___________
Step 3 — Estimate the BUYER's BATNA (3 min)
- Their real alternative if they don't buy from you (competitor, status quo / do-nothing, build in-house, delay a year): ___________________________
- How strong is that alternative, honestly? Rate 1 (weak — they need this) to 5 (strong — they can easily walk): _____
- Their cost of delay — what do they lose by not deciding now? ___________________________
Step 4 — Comparison Table
| Your BATNA | Their BATNA | |
|---|---|---|
| Strength (1–5) | ||
| Time pressure | ||
| Cost of walking away | ||
| Who needs this deal more? |
Step 5 — Negotiation Confidence Score
Formula: (Your BATNA strength) − (Their BATNA strength) + (Their time pressure, 1–5) = _____
- +3 or higher — you have real leverage; hold firm on price and terms.
- 0 to +2 — negotiate normally; expect to trade; don't lead with concessions.
- −1 or lower — you have less leverage than you think. Focus on non-price value (terms, scope, timing) rather than defending price alone, and be honest with your manager about the real odds before over-promising internally.
Red Flags — you're about to negotiate blind if:
- You can't name a specific dollar value for your BATNA (just "other pipeline")
- You haven't asked the buyer a single question about their alternative to buying from you
- Your walk-away point was set by quota pressure, not the math above
- You're more anxious about losing this deal than the buyer is about not signing
If any box is checked, spend 10 more minutes here before the call — it will save you real margin.
How to use it
Complete all five steps alone, in writing, in the 10 minutes before any negotiation call — never fill this out live on the call itself, and never skip Step 3 just because it feels like guessing.