Business partnerships are based on mutual respect and a shared commitment to grow the company together. People who enter into partnerships typically have a good understanding of how everything will work between them, including who is in charge of what decisions.
Despite the best planning, there are sometimes issues that cause disputes between partners. These can lead to the business suffering, but it’s up to the partners to minimize the damage.
1. Information should be shared on a need-to-know basis
Most partnership disputes should be kept confidential to prevent employees and customers from becoming concerned. There may be times when certain individuals need to be brought into the discussion because they play a vital role in the decision. This should be done carefully, using non-disclosure agreements as appropriate.
2. Negotiations may resolve some partnership disputes
Negotiations can sometimes help to resolve partnership disputes, but this will only work if everyone is willing to listen actively. Putting aside wanting to be right and thinking about the best wishes of the company is critical. It may be best to think about which partner has expertise in the area of the dispute.
3. Legal action is sometimes necessary
There are some partnership disputes that will almost certainly require legal action. These include ones that involve illegal actions. For example, if a partner is embezzling money, criminal charges may be necessary.
Any business owner who’s in the middle of a partnership dispute should ensure they know the options they have to protect the business and themselves. Working with someone familiar with these matters may be beneficial for individuals who find themselves in this position.