What are the factors to consider before starting a partnership business

[Erik4150]

A friend of mine is looking to start a business but he doesn't have enough capital so he came to me and asked me to become his business partner and run the business together.
What are the factors I should consider before sharing a business with a partner?

 

[Abigael]

First, you should consider if you trust the person enough to work with him/her. This person should be someone you know well enough that he/she cannot lie to you or steal from you. Secondly, that person should be competent enough to run the business with you. He/she should have skills such as time management, communication and financial management which are essential in running the business.

 

[Josemendez]

A friend of mine is looking to start a business but he doesn't have enough capital so he came to me and asked me to become his business partner and run the business together.
What are the factors I should consider before sharing a business with a partner?

You need to know the type of person you want to start up business with , you need also consider acquiring legal backings in the business ,and also the feasibility of the business

 

[Golden_ear]

You need to consider if you trust the partner, proper documentation of funds must be done and there must be business agreement between partners that want to do business. Also they must be ready to dedicate their to to the business.

 

[Janita]

1st and for most important is to have trust on each other to whom you are starting business because mostly trust issues broke the partnerships in business so 1st consider this one side as well
And than you both have the large amount of money to start the business what ever you are starting
Have complete agreement with each other and summit your proper documents

 

[Sincerem]

A friend of mine is looking to start a business but he doesn't have enough capital so he came to me and asked me to become his business partner and run the business together.
What are the factors I should consider before sharing a business with a partner?

That's nice idea, that you seek opinions before embarking on a partnership terms with your friend in a business course. You should consider the following terms before agreeing to start up such business with your friend.

* Conflict, where one or two join together to start a business, sometimes conflict might come. The two parties should find a way to settle it amicably to avoid crash down of the business.

* Decision making; this one poses lots challenges in any start up, because during the decision making on any business initiative. One will be feeling cheated when the other is single handedly making the decisions on their business welfare. It might be that the other contributed more capital than the other so he will feel more superior than the other. If not settled amicably, it crashes down business.

* Capital; capital plays a major role when it comes to business success. But when it comes to one person contributing more money during the business start up, it can lead to disagreement. Because the other, will like to show superiority over another, making the business not to reach galaxy. But when settled amicably, their won't be hindrance to the business. This kind of issue is often in the partnership business. You need to consider it, before going on partnership with a friend.

* Profits, profits should be shared equally among the two partners. But in the sense, one brought more money into the business, he will feel that he takes the lion share. Putting doubt in the business.

* Business plan, this one is the key to moving a Business firm forward. When the two partners fails to engineer vision and plan into their business, it crashes down. Because one will feel cheated when the other makes the plan single handedly without contacting him.

 

[Defaith]

we have many factors to be considered in partnership business number one you have to understand the person you are doing business with number two you have to become you have to be patient in the area of your business. in area of business don't need to be patient enough and become you don't take all things personal as far as you are not the owner of the business or you are a partnership you have to take things easy because there are so many things that will happen when your partner keep business with someone and business is all about taking risks and commitment

 

[Dubai]

You have to confirm if your partner is as willing as you are. Does he have the same skills and dedication like you? Is he trustworthy. More so, it he willing to sacrifice when it matters most. Do you to ensure he is passionate about the business.

 

[Sotherefore]

In any partnership business you are doing there must be a written agreement that everyone or partner in the business must follow and abide ,a situation in which someone don't want to follow the agreement anymore must be kick out of the organisation because problem arises in a partnership business when two or more people decided not to obey the rules and regulation that is covering the organisation,the written agreement must be confirmed by the law court before going into any partnership business with anyone

 

[Bilal0087]

A friend of mine is looking to start a business but he doesn't have enough capital so he came to me and asked me to become his business partner and run the business together.
What are the factors I should consider before sharing a business with a partner?

Before starting a business you must be prepared mentally and physically, just make a plane and also backup plane of your business strategy.
And be very careful about the person with which you are going to have partnership, if that person is hardworking and ambitious then you should start business with him without any hesitation

 

[Presido]

Partnership business is a very good business idea and at the same time very risky, there must be mutual agreement between the partners,partners must trust themselves and decision making is done by both partners

 

[Olajidey]

Consider all these factors before you decide
Trust

Trust is pivotal for a partnership to stand the test of time. The question is do you trust this individual as a business partner? If the answer is no, just ditch the idea of working with them.



Shared values

Successful partners generally agree on standards regarding what is acceptable and unacceptable. These values guide their actions, judgments, and choices. When partners’ values align, they are more likely to make reliable decisions and remain united.

Accountability

Whether you are a startup or an established business, having an unaccountable business partner will someday lead to the collapse of your enterprise.

Partnership agreement

No matter how strong your relationship is now, certain circumstances can threaten and possibly end partnerships. Avoid feelings of regret by proactively structuring an agreement that is fair and protects both parties. If the person does not agree to the agreement, just move on.

Someone you can communicate with

Communication is the key to any healthy relationship, business or otherwise. Partners should be able to speak honestly and openly about everything in the relationship, from a professional and personal perspective.

 

[chalcedony8]

you have to be physically and mentally prepared before starting a partnership business and know the type of person you're partnering with. Make sure that your partner is trustworthy and try to have a written agreement no matter how much you trust the person.

 

[Nosheen Rakhshandha]

There are so many factors which one should consider before make any body your partner in a bussiness.The most important thing is the honesty of the partner and he or she should be very active and loyal .

 

[Donkiz]

Partnership in business is a way of two or more people coming together to pull there cash, ideas and expertise together to create a business. And the key thing in this arrangement is trust, it's not advisable to go into a business agreement with somebody that you don't trust, so once there is trust the business is bound to succeed.

 

[Variable]

You'll probably need to legally discuss the goals of each individual , the plans of the holdings of each one and the strategy you'll be taking to approach this team up , basically how you manage shareholdings when a management member backs out , or you decide to kick them out for some reason, then talk about the scope of your plans and make sure you guys are on the same road.

 

[Tunnexisco]

Factors to considered before forming a business partnership with a friends are as follows:
1. If you both have the same business objectives and seek to achieve the same goals
2. Unity of directions
3. Active and participation
4. Equal percentage of capital funds contributions
5. Equality on sharing of Profit and loss within the business, and
6. Cooperation of ideas execution

 

[Presido]

In order to start a partnership business you should consider the following
1. You should sign a partnership agreement
2. Determine the role of the partners
3. All partners must have a comfort with risk

 

[Holluwaphemmy]

First and foremost, the people or person you are partnering with must be someone you are very familiar with. Trust, cooperation and transparency is very essential and paramount in partnership

 

[Ridorz]

There is nothing bad in get in busines with partner. But there many things you have to consider before you do so. Make sure that the person is trustworthy, reliable, hardworking, and curious for goals.