Finding the right business partners are sometimes difficult. While some are motivated to get the job done, others lack what it takes to take a company to the next level. Business partners are important because they can help you share the load of running a successful company. However, you must be careful when you are evaluating your potential business partners. Let’s take a close look at some of the things to consider when choosing a business partner.
1. Trust
I put this first on the list for an important reason. Do you trust this person with your personal bank account?. If the answer is no, I would recommend that you think twice about getting into business with that person. As business partners, every dime you spend together affects your check book.
2. Friendship
If the person is your personal friend, make sure that their values, goals and responsibilities match yours. Do not assume that just because you are good friends, you share the same beliefs and values. I would recommend that you take a look into your friend’s personal life to see how stable it is. Personal problems are difficult to deal with and it can complicate someone’s professional life.
3. Money
Just like marriages, money is one of the biggest problems in a business relationship. To make sure that you and your business partner starts off on the right foot, I would recommend that you both agree on how much each of you will contribute to the funding of the company and how the profits will be distributed.
4. Responsibilities
All parties involved will have to agree up front on what their individual responsibilities are in the business. If a person keeps trying to do too much or ends up doing virtually nothing, the partnership will start to fall apart.
5. Varied strengths
Make sure that you and your partner share different strengths. If you have two people who are good at sales, who will contribute to the other aspects of the business?. You should bring someone who compliments your strengths in order to put some balance to the business.
6. Take your time
Never rush into a partnership with someone because you are tired of doing everything by yourself. Finding the right business partners take time.
7. Contracts
You will have to decide a formula to determine the worth of the business to your friend if they decide to leave. Try to keep everything contractual, so all parties know what they get at all times.