Approval process for $100K+ deals, examples

$100K+ Deal Approval Process:

Deal Size & Authority Levels:

Deal SizePrimary ApproverAdditional ReviewsTypical Timeline$100K-$250KRegional Sales ManagerFinance review required3-5 business days$250K-$500KVP SalesFinance + Legal review5-7 business days$500K-$1MVP Sales + CFOFull executive committee review7-10 business days$1M+CEO approval requiredBoard notification (deals >$2M)10-15 business days

Required Documentation Package:

• Financial Analysis: Deal summary with revenue breakdown, pricing justification, margin analysis, competitive pricing comparison
• Customer Profile: Company background, stakeholder mapping, decision-making process, implementation timeline
• Legal & Risk Assessment: Contract terms summary, non-standard clauses, security/compliance requirements, competitive risks
• Business Case: Strategic value, reference potential, upsell opportunities, renewal likelihood

Step-by-Step Approval Workflow:

1. Initial Review (2-3 business days): Finance validates pricing model and margins, Legal reviews contract terms and compliance, Technical confirms implementation feasibility
2. Management Approval (2-5 business days): Regional Manager assesses deal fit and customer relationship, VP Sales evaluates strategic alignment, VP Finance approves financial terms
3. Executive Sign-off (1-3 business days): Final approval based on deal size threshold, C-level review for strategic importance, Board notification for largest deals

Successful Deal Examples:

$300K Technology Company - SaaS Platform Deal:

• Structure: 3-year commitment, quarterly payments, 15% discount for multi-year
• Success Factors: Strong ROI business case ($450K productivity savings), existing relationship through pilot program, executive champion (CTO)
• Timeline: 5 business days total approval (submitted complete package)

$750K Financial Services - Enterprise License:

• Structure: 2-year term, annual payments, includes professional services and dedicated CSM
• Success Factors: Regulatory compliance value proposition, displacement of incumbent competitor, strong reference potential
• Timeline: 8 business days (custom terms required legal review)

Approval Acceleration Tips:

• Complete Documentation: Submit all required materials in initial package to avoid back-and-forth delays
• Stakeholder Pre-alignment: Brief key approvers before formal submission
• Standard Terms: Use pre-approved contract templates when possible
• Executive Sponsorship: Highlight strategic value and competitive wins