A great wealth of research concerning negotiations has been accumulated over the years. Small and medium enterprises (SMEs) lack resources and specialization focus needed to assimilate this knowledge and apply it in their negotiations. In addition, current negotiation literature lack in terms of prioritization of different techniques. This paper examines negotiation knowledge levels in SMEs, and analyzes how knowledge levels influence negotiation performance. The empirical foundation in this paper is a multiple interview study with representatives involved in negotiations from 12 different SMEs. An overview of existing literature on negotiations, focusing on business to business negotiations, forms the theoretical base. Empirical findings suggest that SMEs exhibit knowledge gaps in many aspects of negotiations while excelling on others. Lacking areas include tactics and structured evaluation. Problem solving and relationship management were among the stronger areas identified.