Business partnerships depend on the idea that each owner will work with the other(s) to make decisions that are in the best interests of the company. When disputes occur, partners must ensure they handle the situation in a way that enables the business to move forward in whatever way serves this aim.
There are several things partners need to consider when there’s a dispute. These tips can help partners find ways to resolve issues without causing problems for the business.
Outline partnership terms in a written agreement
A partnership agreement should set all the terms that are present in the partnership. These should include each person’s roles and responsibilities. Profit and loss sharing are also important terms for the agreement. It should also outline how decisions are made and how disputes are handled. When a partnership agreement is clear and comprehensive, there’s little room for disputes. Because of this, all partners should ensure they understand the terms and are prepared to abide by them.
Discuss matters away from the company
Employees, vendors and customers may become rather uneasy if they hear about disputes between partners. It’s critical to discuss these matters away from the company so the issues don’t impact the daily running of the business. While it’s possible to discuss these matters behind closed doors, it might be a better option to go somewhere that’s off-premises so there’s not a chance of eavesdropping or similar situations occurring. This may also be beneficial since it puts both partners on neutral ground.
Bring in independent experts
Sometimes, independent experts are beneficial in these cases. They can provide a neutral third-party evaluation of what’s going on and offer viable solutions to these matters. If this is one of the methods used to resolve conflicts, all partners will have to listen with an open mind to what the experts have to say.
When no other options work to resolve a partnership dispute, legal action might be necessary. Working with a legal representative who can assist with determining the possible courses of action and helping to protect the company can be beneficial as these cases move forward.