Whether it’s a joint venture you cooked up over lattes or an entirely new business you both want to form, partnering with a friend comes with a whole host of concerns. The idea of working with a friend is often exhilarating. So much so that it can be very tempting to dive right in and get started because you already know and trust this person implicitly.
But, is that really the right course of action for a healthy long term business venture?
There are a variety of issues that are critical to the success of any partnership and understanding how these will play out as the business or venture grows is essential. Diving in head first doesn’t really lend itself to determining how the partnership will handle issues like reinvesting profits, paying expenses, or licensing the joint content.
And what happens down the road when one partner needs to cut back on their participation? Or the partners disagree on how to move the venture forward? Even if both partners agree overall, problems can arise with things like handling customer service or hiring team members.
It may seem like taking the time to hammer out the details and create an agreement shows you don’t trust your partner, but really it is showing how much you truly value the relationship. Because, you are taking the steps to protect both the friendship AND the business when you do.
So, wondering how to avoid the drama when partnering with a friend? Watch this refreshed, vintage episode of RRTV for all the details:
[youtube width=”853″ height=”480″]https://youtu.be/cU27C6Jb9No[/youtube]
