Article by Jane Tweedy, Business Advisor, Western Sydney Business Centre
Starting out, did you, or are you, considering joining forces with a business partner? Partnerships can work, but it does seem many partnerships go downhill eventually. So why are you considering a business partner and is there another way to get the support you crave in your business?
Business partners (partnerships or companies)
Many people starting out are somewhat nervous to go it alone, so think about pairing up with a friend, family member or colleague to start a venture. If you’re going to do this, no matter who it is, it is highly recommended to have a Partnership or Company Shareholder Agreement. These agreements specify what happens if certain events occur. It is much easier to do this while all is going well, rather than when you are at war! Things to consider are, the impact of relationship splits and deaths, as well as internal partnership issues like roles and responsibilities, and people not contributing fairly to the partnership.
Friends and family
So you’ve got your new website up and running and share with your friends and family. What kind of response will they give? To be honest, it could be anything – “oh, that’s nice”, “you’re so clever” … but will it be an honest and helpful review – quite often not! You may say to your partner “I’m so excited, I got my first five star review today!” Don’t be alarmed if they’re less than impressed. Your friends and family if they haven’t been in your shoes, are unlikely to be your best business sounding boards.
Reaching out to your business networks, or establishing new ones is therefore vital to do early on in your business. The networks provide contacts, learnings, sharing and empathy to you and your business. The connections you make in these networks can prove invaluable to the success of your business.
Trusted advisors and the Government
Seek support from advisors, accountants and lawyers. There are also numerous government services that you can utilise for support. Most can be found on www.business.gov.au/assistance
Business is hard, find supporters that will uplift, challenge and inspire you!