Many entrepreneurs will agree with this statement: good partnerships take time and a lot of work. Business partners can only be productive if they have a mutual understanding of one another. Stephen Key, Co-founder of inventRight, says there are 13 rules you should follow in your business partnership.
What business partners should do to build a thriving partnership
- Know your strengths and weaknesses: Choose a partner who has a different skill set than you that brings something equally important to the table. Ideally, partners should complement each other.
- Talk about long-term goals: Do you have the same ambitions? If so, will your partnership help you get there? It’s important to share the same vision in order to run your business successfully.
- Define roles and responsibilities: At the beginning of a partnership you should clarify who does what in order to avoid overlapping responsibilities.
- Communication is key: Partners often assume everything is clear, but sweeping things under the rug only creates problems. Setting a specific time to talk on a regular basis helps to stay on the same page.
- Always get your partner’s agreement: If you start making decision on your own, your partner will eventually lose trust in you.
- Treat each other with respect: Although you know your business partner’s weaknesses, you should never take advantage of that.
- Create a written agreement: An Operating Agreement allows business partners to create a framework for addressing disputes and clarifying each other’s roles in the company.
An Operating Agreement can provide the peace of mind you need to run your business smoothly. Find out more about our firm’s unique 4-step process of creating Operating Agreements.