Cadden & Fuller LLP Cadden & Fuller LLP

A Client-Focused Approach to Business and Real Estate Law

Do you need a business partner?

On Behalf of | Jan 17, 2023 | Business Transactions |

There are many advantages to entering a business partnership with someone. Yet many of these relationships fail, as do many of any kind of close relationships between two people.

Here are some questions to ask yourself before signing up to go into business with someone:

Do you like compromise?

If this is your idea, your dream, the thing you are banking on making your mark with, are you sure you will be happy to have to veer from what you think is best occasionally? No partner will agree with you on anything, and for the relationship to work, you will each need to cede ground to the other occasionally.

Are you sure you cannot cover their contribution yourself?

Maybe your potential partner knows a lot more about a specific topic than you, but once upon a time, they, too, knew nothing about it. If they managed to learn, could you not do the same?

Even things that people put down to personality, such as the other person being a better salesperson because they are more outgoing, can be worked on (or at least faked).

Would you be better off hiring help?

If you hate accounting, that does not mean you should go into a partnership with an accountant. It’s the same with many skills you might value in your partner. If you can hire someone when needed to cover those things, it allows you to retain your autonomy.

If you are sure that a partnership is the correct way forward, getting legal help to draw up the contract will be crucial.  It will give you a sound basis to work together and ensure that a breakdown in your relationship need not mean the end of your business dream.

Archives