Who travels fastest, travels alone – the proverb does not work when it comes to be successful in business. In business it is very difficult to be successful alone, especially if you are a start-up and sill bootstrapping.
Check the successful entrepreneurs of the world; most of them have partnered with the right people or the right firms in order to achieve bigger challenges. To become successful, businesses get into formal and informal partnerships. For example, outsource supply chain is a more formal partnership than the case when salespeople of various companies join together to get a bigger opportunity.
As right partnerships can help you become successful, wrong associations might destroy you. At the same time, you have to make all the efforts to keep good partnerships going. Unless the partners are happy and the situation is win-win for all, partnerships might not take you anywhere.
Here are some tips that will help you keep any partnership in healthy shape.
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1] You might not have control over everything – make your mind
All the entrepreneurs try to get 100% control over their future; and it’s quite natural for them. However, as you partner with someone, you become dependent on the performance of your partners as well. If they fail, your success can also be delayed.
This is something you cannot stop; what you can do is: share knowledge as much as you can with your partner. Tell them all those things that people usually do not like to share with others.
2] Accept what you can and what you cannot
Before entering in to a partnership make a list of the things that you or your firm is capable of doing. Then only you can understand what sort of external support you will need from third parties or your partners to be precise. Do a SWOT analysis (Strengths, Weaknesses, Opportunities and Threats) and find out how a partner can help you and how you can help your partners.
3] At the end of the day, you need the right partner
Once you have done the SWOT analysis, find out a partner or a firm who can help you fill the gap. Here is a scenario; assume you have a great product idea – you have validated it and now you are going to market. You know that you are not good at marketing; so you will need someone who can help you market the product.
With the right kind of SWOT you have to find the right partner. Do a little bit of background check of the partners to make sure you do not end up being in a wrong association.
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4] Have a partnership agreement
Once you have identified the partner, make an agreement. This document must contain all the details – which party will be responsible for what, how the profit will be distributed etc. In case of formal partnership a legal contract should be signed. Even in case of informal partnership make a written agreement so that all the partners feel the sense of responsibility and accountability.
5] Chalk out a strong Code of Ethics
Like all relationships, there has to be commitment among the partners. All the partners should be ethically correct – this is the key to success in any partnership business. Even when the other things go wrong, partnerships can be successful if everybody are ethical in whatever they do.
You should not only be honest, stick to the agreement and be ethical, you have to go beyond what you committed to your partners. If all the partners practice this half the battle is won.
6] Have patience
Success does not come overnight; there will be ups and downs. Do not get disappointed and do not give up unless you know that you have really tried hard and tried enough. Sometimes, people give up just when they are close to success. Have patience; follow the right path – if you are in the right partnership you will be successful today or tomorrow.
This article is contributed by Michael Evans who writes for Globalserve that helps company Offshore Companies located in Cyprus in myriads of ways.