Starting a business always seems fun and exciting initially until all the pressure and lack of time hit you. Dealing with that is the real deal and if you start a business with a relative or group of friends, keeping these things in check becomes an utmost priority.
There are many examples where people started a business with their friends, and it collapsed due to lack of communication and change in point of view. Many people got out of their business with significant losses in finances, friendships, and mental health.
Here are a few good and bad things you need to consider if you plan to turn your business partnership into a friendship.
Contents
Some pros of having your business partner as a friend
Work Ethic
Starting one’s own business is always a stressful and time-consuming task. A big riff is seen in a business when one partner feels that he is handling everything while the other partner is just taking time off or not doing any work. In this case, most of the time, the business collapses due to this reason only. Therefore, specific rules and roles must be set beforehand to clear out any miscommunication that follows. So if you have a friend who is also your business partner, work ethic’s problem is something you will not have to deal with.
Communication
When running a business, communication is the main factor in discussing and planning different policies revolving around your business. If you have a new business with a friend, then that friend can be a blessing in disguise as you have years of experience in communicating with this person and will not have to invest time to understand a person right from the start. Also, as the person will be a friend you have known for a long time, there will be no hesitation between conversations with each other.
Trust
One of the most critical factors needed for a business to be successful is trust between the founder or foundation partners. Suppose the partner is your friend, that makes you trust them automatically because of your past endeavors with them. But knowing every detail about your business partner even though he is a friend is very important. For that, use Nuwber as it provides you with the information that allows you to increase or decrease your trust in the specific person.
These were some of the Pros of having a business with a friend or group of friends. Now we will look at the cons of such an endeavor.
Some of the cons of having a business with a friend or group of friends are
Ego
Having an egoistic friend can be fun and games when hanging out publicly, but it may cause severe problems when you are into a business startup. A business can only be run successfully if you and your partner are willing to compromise and apologize for mistakes. Having a person with a superego can create problems in the business with one-sided decisions and not admitting to any mistakes made. You need someone open to learning new things, not someone who thinks they know the answers to everything. An egoistic partner can slow down turning a partnership into a friendship.
Risking a power Struggle
Assuming that our different associates request direction from more than one of us and offer various responses, nobody knows whose rule to follow. Most of the time, we can fix this with a touch of clear correspondence, yet there’s that one time that can cause somewhat of a power struggle. Ensure the message from the top stays the same.
Even if that partner is your friend, sometimes the line of power becomes a blur, creating problems.
The Talker
The most important aspect of a business partner is that both the partners or the whole group works together and make it possible for the business to rise and be successful in the market. But if you have such a friend as a sweet talker partner who focuses only on talking but shows nothing with action, it can be a disaster for the business.
Inter-mingling personal and business matters
To assist you with unraveling the personal and professional, remember that the workplace is the workplace, and home will be home. Your discussions with your friend-slash-partner should remain on their separate sides of that line: Use text and individual messages for individual matters and your business emails for business matters. Furthermore, sooner rather than later, take your personal discussions to the bar around the bend when you are finished for the day.
These were the pros and cons of having a business partner as your friend.
Conclusion
One essential thing while building a successful business is setting goals beforehand. When you know what you need to accomplish together, you can explain what is required from every partner. To assemble an internet-based tool and offer it to a large corporation within the following years, you better allocate clear responsibilities regarding who will deal with each piece of your business, to hit that high objective.
As stated above, communication is the key to a successful business. When starting a new business, keeping it a priority will boost your confidence while also providing new ideas and innovations. Prior to launching a business with your companion and risking your monetary assets with the expectations of accomplishment, pause for a minute to consider these intricacies of business organizations and examine them together. You want a guide that will assist you with tracking down the way to your common definition of success.
Keep in mind that probably the most remarkable organizations were established by companions at any point. Be that as it may, many more have failed wretchedly and left destroyed kinships afterward. Consider cautiously before you start a business with your companion or before you become too close with your partner.
Assuming that it sounds possible for both you and your closest companion, you may be prepared to embark on your entrepreneurial adventure together. What’s more, when done the correct way, it very well may be extraordinarily rewarding to rudder a business venture with your best pal.
