We constantly see people and companies collaborating with each other to bring about successful outcomes. However, it is not as easy to work in collaboration with people and companies as one might think. When one starts working in collaboration lots of things come into play. Many compromises have to be made in order for the partnership to flourish.
According to a report, 70% of business partnership fails. But fret not, here we are with amazing tips to help you establish a successful and healthy business partnership which will help you and your partner grow to great heights. Read on to find out how to have a successful business partnership?
Have a common mission
Two people cannot work together if they have different mindsets. So it is very important for both the partners to think on the same lines for achieving the same goals of business. Sitting face to face and getting to know each other better is the key to a successful partnership. If your goals clash or your ways of thinking do not match, then there is a huge possibility of disputes which can bring losses for both the parties involved.
Respect your partner
One doesn’t partner with someone unless they can see a profit involved. If one has established a partnership with someone either the company is extremely successful or of some advantage to the collaborating party. Your partner has overcome numerous hurdles to reach high levels of success; hence, it is not a good idea to consider your partner less than you in any aspect. They might be having knowledge about strategies that you do not know about.
Therefore, it is advisable to make this relationship a give and take one. Respect the capabilities and capacities of your partner. Also, any partnership, be it business or personal, is based on trust. In order to trust someone, you need to know them better. So, take time outside of work in knowing about each other’s goals and develop an understanding of each work ethics.
Have a team managing your partnership
When two big and successful companies or organizations collaborate with each other it is mandatory to form a team that will look after the terms and conditions of the partnership and manage the transactions that take place between the two partners. This team will serve as the bridge to facilitate relationship building and consistent communication. Maintaining healthy partnership takes both time and capacity, so, it is important to appoint capable staff that can ensure success of the partnership.
Keep assessing the profits
Regular assessment of the achievement of goals and the profit that is coming from the collaboration should be done. Proper statistical data should be analyzed and any sort of issues should be resolved quickly and precisely. Constant analysis of the numbers can give a clear indication of whether the collaboration is profitable or not. A partnership that does not benefit anyone should not be continued any further.
Two partners with the same type of skill set are of no use to either company. One does not have to essentially have everything in common. Having a comparable relationship is what makes a business partnership successful. If you lack something and your business partner has that skill, they can provide you with assistance in that field and if you have a certain skill set that they could benefit from then you can assist them with it. It needs to be a healthy relationship where skills and knowledge can be equally shared. Each partner should realize the potential of the other and team up in a way that both can profit from it.
Define your roles
For any partnership to flourish every individual involved needs to know their roles with accuracy. If the roles are not clearly laid out work processes would become chaotic. It will be difficult to come to a conclusion if everyone starts acting like the head of the company. To avoid any commotion of this kind, clear roles need to be set for everyone and everyone should respect their tasks. Interfering in other work may cause disputes making the partnership suffer and often leading to its downfall.
Apart from keeping these in mind, working meticulously to reach the goals as put down during the establishment of the partnership will help in making the collaboration bear fruits of success.
Building a Successful Business Partnership is a long-term process. It can't happen overnight. As long as you progress, you will find different challenges and you need to overcome those to make your partnership successful. I hope the above tips will help you to build a successful business partnership. Share your thoughts on the comment section.
Successful Business Partnership - FAQs
What are the characteristics of a partnership?
5 major characteristics of a partnership
- Existence of an agreement
- Existence of business
- Sharing of profits
- Fusion of ownership and control
- Non-transferability of interest
What are the objectives of a partnership?
The main objective of any partnership is to bring together the resources and skills of multiple business owners so that they can operate with more efficiency and can even reduce competition in the market.
How to have a successful business partnership?
6 Tips for having a successful business partnership
- Have a common mission
- Respect your partner
- Have a team managing your partnership
- Keep assessing the profits
- Be compatible
- Define your roles