Know whats out there.

Know the labels and music publishers you hope to be signed to. 
If you were applying for a job with a certain company of corporation, wouldn’t you take some time to ask questions about their stability as a business, their reputation in the industry, and the executives background and experience? The same is true when you are approached by any reliable music industry company. Some musicians get so excited when a certain label approaches them with a recording contract offer, or a publishing company offers to sign them. Being approached for a deal is a compliment and recognition by a label or publisher that a musician’s music is attractive to them. But, to rush ahead without taking the time to learn a few things about them is foolish indeed. Ask... how have they done with your particular genre of music? What specific "points" are they offering you? Who runs the label or publishing company? What is their reputation in the music business? How do you like them as people? These and other questions can be crucial in making an unemotional decision about an arrangement that could make or break your career.