You’re all set to go into business with a partner. While you’re confident that things will work out, you’re likely to have some reservations. It’s natural when making such a big decision.
Rather than blindly jump into the partnership, the two of you should get together to answer key questions and address any potential concerns. These questions are a good place to start:
- Will we each own 50 percent of the business?
- What title will both of us hold?
- What are our individual responsibilities?
- Will one or both of us have control of the company finances?
- What’s the best way to deal with future disputes?
- What type of business structure is best?
- What system will we use to ensure that both partners are living up to their side of the agreement?
These questions aren’t meant to divide you and your potential partner. In fact, they’re meant to bring you closer together. You may not know all the answers, and that’s okay. This gives you the opportunity to talk through things, which reduces the likelihood of a disagreement in the future.
As you answer these questions, you should expect others to come to light. You can address these at the same time.
You can’t predict the future, but you can do your part in positioning yourself and your company for success. And when it comes to a business partnership, this starts with finding the right person to collaborate with.
Once you feel good about proceeding, you can then choose a business structure and prepare for launching your company to the world.