The partnership of individuals with common goals and aspirations could do wonders for a startup, the same way a bad partnership can lead to the downfall of a business. Finding a partnership that works is hard, and once found, maintaining that perfect rhythm in sync with your partner is even harder.
While it may be harder, most excel at it, developing their businesses and building their dreams together. But this is not true to all partnerships. With the wrong blend of aspirations and goals, partnerships can prove to be rather disastrous. Here are the top 10 reasons why partnerships fail and how it comes to be so.
- Differing business goals and priorities – Partnerships work best when all partners share the same visions and goals. When business priorities differ, it is difficult to come to a viable solution for the decisions at hand and thus conflict occurs. It is a known fact that a divided army cannot conquer. And therefore, this would eventually lead to the downfall of the partnerships and most likely the business itself as well.
- Lack of communication – It is easy to get wrapped up in one’s own affairs but when in a partnership, it is extremely important that the partners communicate on a regular basis just to stay abreast with what is taking place. Communicating regularly will help the partners identify whatever issues that exist within the business which allows them to find the solutions together while also increasing the bond between the partners for a more fruitful partnership.
- Not giving it enough time – Perfect partnerships are not created in a day. It takes months, and in certain cases years to build that perfect partnerships and therefore, a certain amount of time and dedication is needed to build it. As long as all the partners share the same visions, goals and business aspirations, all you need is time to build it into a thriving partnership.
- Lack of defined roles – You and your partners should not be doing the same things. Delegation of tasks must be structured properly with the roles of the partners duly assigned. This also helps when you are just starting out and you do not have enough resources to recruit the staff needed to complete the tasks at hand.
- Friendship – Many may disagree with this, but in order to preserve both your business AND your friendship, your best friend should not be made your business partner. Being a business partner means spending a lot of time together handling unpleasant tasks, and this could eventually turn a friendship sour. Business partners must spend time apart from one another. Associating with the same friend circles would leave the partners stagnant and stuck within the same set of ideas preventing the generation of fresh ideas that would benefit the business.
- Not establishing terms and conditions of the partnerships in the beginning – If you and your partner are not aware how the income will be divided, you don’t have a plan for disposition of assets, you are not sure who is responsible for what in the business – this is a recipe for trouble. Set your terms and conditions at the beginning of the partnership and make sure that everybody will agree. This will not only avoid conflicts between the partners but will also ensure the smooth functioning of the business as well.
- Too many cooks spoil the soup – make sure your partner and you do not possess the same sill sets. If all partners are good at the same thing, they will all want to rule, creating conflict, depleting resources and also wasting time in the process. needless to say, this is not very productive for a business.
- Letting the emotions get in the way – Don’t let the emotions get the better of you. A good partnership points out each other’s faults and works together to overcome those deficiencies. It is natural to get defensive when your faults are pointed out to you, but letting all those emotions run havoc will only do more harm than good. A business partner expects you to be logical, not emotional. So whenever there seems to be a conflict on the rise, take a step back and analyze. At the end of the day, both you and your partner wants what is best for your business.
- Domination – It is sometimes noticed in partnerships that partners try to dominate one another. This is not a sign of a healthy partnership. All roles must be more or less equal and mutual respect must prevail in order for a partnership to truly work.
- Not being upfront – It may be difficult to believe but most individuals find it difficult to be upfront with their business partners for the fear of damaging their relationships. People are often afraid to confront one another. Being afraid to hurt each other’s feelings should be the last thing in your mind. It is important to be honest with one’s partner in order to figure out what is best for your company and to grow together as individuals and business partners.