Commercial mediation is simply defined as the process of resolving disputes between business partners with the help of a third party. It can be anything between two different companies or business oriented issue. The mediation has numerous advantages which are discussed as follows:
- The mediation is cost effective and voluntary as mediator is well experienced, has adequate knowledge about the problem, and knows well how to settle it with appropriate solutions. He tends to settle down the issue as soon as possible. Hence, it is inexpensive.
- The mediation is well focused and protects the relationships form ruining. The mediator knows his work well so he tries to solve them instead of expanding them. There are many relationships which have to be kept intact for business to run successfully, the mediator keeps all this in mind.
- The mediation is flexible enough to give the solutions which are unbiased. Both the parties are equally important for the mediator and he tends to settle them down on friendly grounds. Settlements done by mediation are preferred much as compared to settlements done in the court for both the parties.
- Mediation is relatively simple and there is no such hard and fast rule that both parties don’t understand or become uncomfortable in understanding the settlements made by him. Ninety percent of the parties tend to listen to mediation as they are simple solutions than given by the court there after, if not done by the mediation.
Hence, mediation proves to be very beneficial for a business to run properly.