The pros and cons of a business partnership explained. Being 50/50 across the board can leave you down and out on decisions. Don’t let this happen to you!
Sunshine? Do you and your partner have a 50/50 split?
Crystal: Welcome to The Love of Business. I’m Crystal.
Sunshine: And I’m Sunshine. Let’s get to it.
Partnerships? They sound like they can be a little tricky?
Crystal: Business partnerships very well can be.
Sunshine: So, I’m assuming you’re going to give us the best advice on partnerships, pros, cons, when they should be 50/50, when they shouldn’t be?
Crystal: That’s right. So, let’s talk about the pros and cons of a business partnership. A pro could be that you have a collaborator, someone who is on your team that maybe has a different skill set than yours, that will complement your skill set. Another pro is that you have another person for a sounding board. So, you can think out of the box with someone else’s viewpoint.
Now, let’s talk about cons. Here’s the thing about business partnerships, they’re similar to marriages. 50% or more do not last, and divorce or dissolve happens. Now, that’s a con. But it’s really important here that instead of being 50/50 in decision making, have one person be 60 and the other person be 40. You can be 50/50 with the money. But when it comes to decision making, and if there’s a stalemate, then a decision and action will not take place.
Sunshine: Nobody wants a stalemate.
Crystal: That’s right.
Sunshine: You can always be 50/50 on the money. But somebody needs to have the upper hand with the final decision.
Crystal: That way you can keep growing and moving the business forward.
Sunshine: What’s your number one takeaway from today’s video? Leave us a comment. And thanks for watching.
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