Business partnerships enable each owner to put their strengths together so they can build a strong company. All partnerships have issues at some point. How you and your partner handle those can have a direct impact on the health of the business.
One of the best ways to prevent issues from derailing the company is to have a solid partnership agreement. This agreement should include the duties of each partner, as well as terms for conflict resolution when there’s a disagreement. The more detailed the agreement is, the less of a chance there will be that a partnership dispute will ruin the company.
Tips for handling partnership disputes
If there is a dispute, it should be handled away from the company. If the business seems unstable because the owners are fighting where employees and customers or clients can see, it can cause people to fear for the company’s future and go elsewhere.
It’s sometimes necessary to pull employees into a dispute to help resolve it. When this has to happen, you should only involve the ones who can provide useful input. Ideally, you’ll be able to get a nondisclosure agreement set with the employee if there isn’t already one in place. This can help to keep the specifics of the dispute quiet.
Anyone who’s in the midst of a partnership dispute may attempt to work things out with their partner. If this doesn’t work or if the issue is a one that’s very serious, legal action might be necessary. It’s wise to seek legal guidance so that you fully understand all of your options.