Any partnership – be it personal or business – should be approached with certain things in mind. Sharing responsibility, pooling ideas and using twice the amount of resources are all positives you can gain, but committing yourself to an outside party is not without risk. A lot of your time and money may be involved, so it makes sense to start on the same page.
If you’ve identified a partnership as necessary or beneficial for your business, there are several key points to consider. Fundamentally, the business in question needs to share not only your vision and the aim of your company, but also your work ethic. Differences of opinion are healthy and keeps the flow of ideas going, but major fallouts and leadership conflict are very real possibilities down the line if you collaborate with someone with working methods too different to your own.
A prospective partner should be one who’s complimentary to yourself and your business. On a one-to-one level, this means someone with whom you can communicate well and resolve problems. Overall, this extends to a partner with experience in your field, as well as any expertise you may be short on, such as book-keeping or IT skills. Choose well and you could also gain a reputable name and industry connections it may take years to build alone.
The most practical consideration has to be the monetary one. It almost goes without saying that you should select a financially-sound partner, so it’s a must to do a company check on the Companies House site, where you can find details of all the registered companies in the UK. Combing the business history for any outstanding debts or mismanaged money could save you a lot of stress at a later stage.
However thorough your research, it’s important to discuss the decision with a lawyer or accountant before going ahead and make sure there are clear roles defined at the outset, with a signed agreement between the parties concerned. So long as you approach it wisely, a business partnership can spell success for your company and have the potential to grow and last for years.