Partnerships usually start with high hopes. Sometimes those hopes carry through to long-term success, but not all partnerships make it. If you watch for signs your partnership may be failing, then you may be able to identify and fix the problems before things go too far.
#1. Poor Communication
Business partners typically need to have clear communication with each other. Do you find yourself being surprised by something your partner has done? Maybe you just are never sure where your partner is and what he or she is doing. Another form of poor communication is when a partner refuses to answer questions or only gives you incomplete answers. This could be a sign that your partner is unable to handle dealing with others, including employees, vendors, and clients.
#2. Differing Visions for the Business
Companies can gradually evolve from their initial purpose to something entirely different. Perhaps you and your partner started out with the same idea for your company, but then things changed. To slightly change an Abraham Lincoln quote, “A partnership divided against itself cannot stand.” Your future plans may be similar enough to your partner’s goals for you to work things out. Still, this is a sign that your partnership could be headed for rough waters.
#3. Lack of Respect
Partners who respect each other may avoid some of the other signs your partnership may be failing. For example, a partner who respects you will be able to talk with you, not freeze you out. When differences of opinion arise – and they will – respect can lead to productive discussions and a satisfying solution. Failing to respect a partner’s opinions will not add to the partnership’s success.
#4. Lack of Responsibility
Business owners, especially partners, generally can’t get by with an “It’s not my job” mentality. Delegating is necessary, but the ultimate responsibility for a partnership’s success lies with the partners themselves.
If you find your partner refuses to take on any responsibility, it may a clear sign your partnership may be failing.
#5. Workload Is Uneven
Are you shouldering the burden of running a company while your partner enjoys the profits? The term “partnership” can be defined as:
“A legal form of business operation between two or more individuals who share management and profits.” [emphasis added]
An uneven workload could indicate an unequal commitment to the partnership itself. If left unchecked, the partner with the heavier workload could feel resentment and anger that leads to the dissolution of the partnership.
Do You Recognize Any of These Signs Your Partnership May Be Failing?
It may be time to reassess your partnership. Ask an experienced Florida business lawyer to review your partnership agreement for ways to move on.
Attorney Richard Sierra at the Florida Small Business Center assists clients like you with business and litigation matters. As always, Our Goal Is to Help You Succeed tm. For an appointment, you may call us at 1-866-842-5202 or use the contact form on our website. we represent clients throughout South Florida, including Coral Springs, Coconut Creek, Boca Raton, Delray Beach, Pompano Beach, Sunrise, Fort Lauderdale, Miami, and surrounding communities.