Being in business with a partner is that double-edged sword of an amazing opportunity balanced against the potential for disaster. It is an alliance whose genesis is often based on friendship and excitement and advances into getting in bed together in a high-stakes relationship.
A lack of intentionality to foster the alliance can lead to financial failure and broken relationships.
(The parallels with a personal or romantic relationship are obvious and well documented. Leadership coaching of this sort can be referred to as “couples counseling.” True, but get the tongue out-of-the-cheek and see how important this is.)
If you are going into business together, it is a startup. Whether you’re 25 or 50 something new is being created. Even if you’re taking over an established business, your relationship is a new one that needs special attention as it goes through the phases of creating something new. The stats are well documented for the percentage of new businesses that fail. What isn’t all that clear is how much of that is due to healthy relationships between the leaders, and how many personal relationships dissolve when things go south.
Kudos to mature businesses that are run by partners and have survived the test of time. We can learn from those and also look for ways to improve and embrace the ever-changing lifecycles they encounter.
These three strategies will help a business partnership thrive by hitting head on some of the biggest opportunities for success.
Every day is Different – Be Ready for Change
You have to be brutally aware that you, your partner, and the business are different every single day. Yes, you have your vision, mission, goals, business plan, etc. that you use as your north star that helps you navigate into the future, but things will change.
Your partner starts dating someone new. A sure-thing investor is continuing to delay a decision. Your parents are having health problems. You’ve moved to a new office. You feel like you’re carrying more of the load. That competitor seems to be doing really well. There are now more employees and your 1:1 partner relationship isn’t like it once was.
These are examples of things you really don’t have control over. Whether personal or professional, the things that happen to you impact all dimensions of your life. When uncertainty or unanticipated change happens, our instinct is to try to protect ourselves. We do this by avoiding, exhibiting self-doubt, or blaming others to help us feel more secure.
When you look at things through the lens of “protecting self” you are not in the best place to make important decisions. It leads to judgment of yourself or others that may or may not be fair or true. It isn’t constructive in trying to resolve and adapt to the inevitability of change in your business partnership.
You can control how you react to the things that are going on around you. Knowing change is inevitable helps you:
• Manage your own interpretation of the events and not blame your partner. Things that occur don’t have to have to be judged as good or bad. They happened, and now it’s time to take action moving forward in ways that serve the business.
• Point out to each other where you see change happening so you can address it together. You and your partner have blind spots and see things differently. You have the advantage of the partnership where you can – and have the responsibility – to help each other see things clearly.
• Be confident that no matter what happens not only can the challenge be managed, but it can be leveraged for even better outcomes. These are all learning opportunities.
Trust Yourself, Your Partner, The Relationship
You are together for a reason. You know that you have vision, skills, and experience that have brought you to this point. You know your partner brings a set of strengths as well. They are not the same set of attributes for both of you. Some are more developed in one of you than the other. THANK GOD! If you were identically gifted, you would be redundant, and the partnership wouldn’t make sense.
Believing that each of you has something to offer allows trust to be manifest in the partnership.
Attention to detail. Client relationship management. Financial acumen. Honesty. Conflict resolution. Vision. Communication. Strategy implementation. Business development. Talent management. Creating teams. Sales. Integrity.
These are all talents and values necessary in a successful organization. Each of you will fall somewhere along that continuum of “not good” to “crushing it” for each of these. Trusting that your partner brings something to the table and is in alignment with the overarching goals and values is crucial. Furthermore, trusting each other to step up and grow in areas where you’re not as strong sustains the long-term success.
Trusting yourself and trusting your partner leads to being able to trust the relationship. If you can be confident that you’re giving your best and your partner is as well, then you are able to focus on the relationship.
By not blaming yourself or your partner, you are able to see there is something bigger that transcends both of you. You believe your relationship (or business) is more important than each of you individually. That trust allows you to get over yourself and be able to see ways to achieve your goals alongside your partner.
Ask the Hard Questions
Hard questions have to be asked to keep things moving forward. Those questions have to be asked of you, about the other person, and about the business.
This is really hard to do because sometimes you don’t know what the answer will be. Alternatively, once the question is asked the proverbial cat-is-out-of-the-bag. Failing to ask those questions, however, does not change the answer. Nor does the problem (real or imagined) go away.
The hard questions have to be asked.
Is this business what we were hoping it would be? Am I enjoying what I am doing? Do I still want to be doing this? What is the value my partner brings to the company? What do I need to do to contribute more effectively? How do we want to solve problems moving forward? What can each of us do to help the other succeed?
These are incredibly hard questions to ask oneself, or to discuss with your partner. It takes trust, honesty, and confidence to have fruitful conversations around critical questions.
One of the biggest obstacles to being able to ask the hard questions is a real or perceived imbalance of power within the partnership. Inevitably, a partner assumes control overall, or one or the other might dominate in certain dimensions of the relationship. Playing to your strengths is essential, and that makes a partnership work. However, you are both there for a reason, and each of you should want and be able to ask the hard questions.
To help level the playing field, and to be sure to include the positive as well as the negative, here are Five Questions you can both use to help set the foundation for effective communication and to start asking he hard questions.
1. What contribution to the business have I made in the past few months that I am most proud of?
2. What contribution has my partner made most recently that I think is really great?
3. What can my partner do to help me be better at what I do?
4. What can my partner do to help the company be even better?
5. What do I want to do differently to help make even more of a difference in the company in the upcoming months?
Answer these questions for yourself and have your partner do likewise. Then discuss them together. You may want this to be facilitated until you get used to doing it!
Being in a partnership is hard work and also so rewarding. Through the acknowledgment that change is inevitable; by trusting yourself, your partner and the relationship; and by asking the hard questions you can help increase the likelihood of success.