So you are considering starting a business with a partner or partners. If you’re doing so keep in mind some absolute truths. Most business partnerships end in a break up by a factor of 8 to 1. I know you’ve got the perfect formula – I’ve heard it before but… heed these words of advice. You must be willing to suffer the loss of your relationship if the business partnership ends.
Is your partner a friend or relative? If he or she is close to you, keep in mind the importance of this relationship. If you are going to have a partner, here is the best way to reduce compromising your relationship. Yes, even if they are your best friend or family member. Define to the finest detail your roles and responsibilities, all of your expectations and then have them reviewed by a non-biased third party (NOT YOUR MOM) and be sure the reviewer has a business background. Next, define exactly how all the income is going to be divided up – to the penny. Third, have clauses defining exactly how you may buy each other out for and how much in what type of payment if one party decides to leave. Don’t ever let the other party walk without a financial payoff — even if it is small. They will forever feel you jipped them and you’ll have an awkward five hundred pound gorilla between you forever. Finally, sign a document agreeing to these roles, responsibilities and financial issues. Consider this a pre-nup and be sure to understand the reason you’re doing this. You want to remain friends first and foremost because all the money in the world won’t buy you that relationship again. So, plan it out and make sure you are both on the same page with the same interest in starting a business. Don’t believe for a moment that you can separate business from your relationship — it’s a lie.
Have you “really” addressed the stuff that has been on your mind but is hard to talk about? Cover these things now before you go into a partnership and put plans in place that force a positive outcome fueled by your ability to recognize both of your shortcomings. Know your own personal limits and those of your partners. Most of the limits and problems in a business are fueled by personal “stuff”. It’s not that the personal stuff is all bad. Maybe you or your partner to be is married to a jealous spouse that will certainly have a problem with you starting a nationwide trucking service gone on the road 6 nights a week. Maybe your Mom lives nearby and requires your daily attention of which would certainly come to a screaming halt if you open that sign shop. Let’s face it, people are more important than money. If you don’t think so, ask the lonely and bitter millionaire. You will have to adjust your business model to suit both your lifestyles and personalities. This is the stuff, the personality “face the music” stuff that if addressed up front, during the planning stages, will reduce the likelihood of breakdowns and break ups of your new company.
By: Dan Nichols
Posts Tagged ‘Third Party’
Business Partnerships – Doing It Right
March 25th, 2010Finding Business Conference Facilities
February 10th, 2010
In the current recession it’s true that the Hotel industry has suffered – perhaps not all hotels but a great many, especially those reliant on Conference business. This also includes some well known hotel chains as they can be affected too, perhaps even more so, if many of the hotels have traditionally focused on this market.
The problems have arisen as many UK businesses seek to cut down on their costs, therefore having a nice venue for their conferences have become second fiddle to the practicalities of achieving the conferencing objective. So, they do it themselves, or they book locally to save accommodation fees.
If a business is however seeking a conference facility, price will be a key factor. So where do they begin? Most hotels offer advice on their own websites. Some also pay third party websites to manage their conference bookings. Google is obviously a big, big factor in this, as well as lesser search engines.
Indeed, the first port of call for a secretary or delegate tasked with booking a venue will be the internet. They’ll tap in ‘Conference Hotels in X’ probably, or something similar. What they do next can be a big factor for hotels, if they’re on page one, or on the sponsored links then they may get a visit. If not, they probably won’t!
If a hotel is lucky enough to get the visit, their website must then be right, it must provide the right information and incentives to buy – make it easy for the potential customer to make contact.
By: Chris Kell
