There are 3 key questions you should ask yourself:
- What's the best possible outcome?
- What's your bottom line? This refers to the least acceptable offer. If you're the seller, what's the lowest offer you'd be willing to accept? And if you're the buyer, what's the most you'd be willing to pay?
- What's your plan B? Your "BATNA" - your best alternative to a negotiated agreement. What are you going to do if you don't reach an agreement?