How to build a successful business with a partner and avoid conflicts

Why conflicts can arise between partners

Conflict situations are inevitable companions of partner business. The reasons for their occurrence can be different - we list the most common options.

Unclear distribution of roles

Conflicts may arise between partners if they are not aware of their area of ​​responsibility. For example, one business member may be responsible for marketing and another for investments. However, between these spheres there are also intermediate, or border, zones in which spheres of influence will intersect.

Example: on advertising The campaign needed additional funds. But one of the partners decided that the other should look for them. And he did not plan expenses beyond the plan. As a result, none of the partners took up the search for money.

Result: the advertising campaign failed, sales decreased, and a conflict arose between the participants. None of them feel responsible for what happened and accuse the other of incompetence. This is the task at the junction of the spheres of influence of partners, which none of them wanted to solve.

Unequal participation in business

This reason often follows from the previous one, especially if the areas of responsibility and powers of each partner were not specified at the start. Verbal agreements are forgotten over time and can be interpreted differently.

Some entrepreneurs willingly use it for their own benefit. So, one of the participants may have a smaller share in the business, so he believes that it is not worth making much effort. Let the one who owns the majority of the funds do the bulk of the work.

There is another, not very honest turn of events. For example, with equal shares, one partner prioritizes personal life and makes a symbolic contribution to the business, shifting most of the responsibilities to the second. He asks him to negotiate alone, control the shipment of goods and perform other tasks.

As a result, the second partner finishes all the work, wasting his time and effort. It is not surprising that this state of affairs will lead to conflicts.

Misunderstanding each other's expectations

The problem often arises at the start, when partners are just starting to work together. Each of them may have their own ideas about the company's development plans, which they did not voice to each other.

A common example: one of the participants is aimed at long-term investment, and the other wants to receive a high current income. These are completely different goals that require different business strategies. And if the partners see the process and the result of the work differently, it will be difficult for them to find a compromise.

Unwillingness to comply with the format of cooperation

If you are equal partners in business, then the rights and obligations are divided equally. If you are a franchisee and a franchisor, it is obvious that the advantage is shifting to one side.

By purchasing franchise, a businessman develops and earns under the auspices of a popular brand, therefore, he also bears responsibility for it. The franchisee is required to comply with strict standards regarding the work of personnel, uniform style, design concept, marketing and other components of the company's positioning. Violation of these rules under the contract is punishable by fines and other sanctions, up to termination of cooperation.

Sometimes franchisors become the culprits of conflicts. Some of them do not include part of the expenses in the estimate or business plan, presenting a more pleasant scenario to the future partner, overestimate profits and turnovers. And when he is faced with the fact that reality does not correspond to the stated forecasts, he can accuse the partner of deceit.

The emergence of crises

In any business there are temporary crises and difficult periods. However, when there is no profit and losses increase, it becomes difficult to distribute them. And this can lead to conflicts.

Suppose a person has two business partners. For several years, their business prospered and the profits were equally divided among all participants. But suddenly there is an economic downturn, and the company begins to suffer losses. In this situation, the question arises: how to divide them among all? And if there was no agreement, it can cause disagreements and conflicts.

To prevent such problems, it is necessary to agree in advance on ways to share losses in the worst-case scenario. It is worth creating a decision-making mechanism and developing a crisis management plan. In addition, alternative options should be considered, such as temporarily changing payment terms or attracting outside investment to support the business.

How to distribute responsibilities between partners to avoid conflicts

The correct distribution of roles is already half the success. It is best to do this when starting a business, discussing the details and fixing the agreements on paper. The definition of areas of responsibility can take place in stages:

1. Agree that everyone will focus on the area in which they are experts. For example, one partner is responsible for the product side, and the other is responsible for the business and marketing. List each other's responsibilities. Consider how you will handle issues when both of you need to be involved. The more transparent the interaction mechanism is, the less conflicts will arise between you.
2. Establish each other's powers in case one of the partners is temporarily unable to perform their duties. Suppose one of the co-owners of the business is seriously ill, and the other is incompetent in his field. In such a situation, you can involve a competent expert in the work, and the second partner will only control the results of his work. It will not be superfluous to prescribe ways to distribute profits in order to avoid conflicts.
3. Give real cases of successful partner interactionsif you are a franchisor or have already had experience working with other entrepreneurs. This will help your new partner make sure that the strategy is right and the company can be trusted. It is worth establishing clear rights and obligations of the franchisee and the franchisor. For example, the first is responsible for the operational side of the business: personnel management, procurement, accounting, and the like. And the franchisor, in turn, provides the necessary support in the form of training, marketing strategy, supply of goods and access to the brand.
4. Agree at the very beginning of cooperation how you will get out of non-standard situations. It is best to look for solutions together, be flexible and ready to adapt to new conditions. It is important to keep in mind that non-standard situations may require temporary changes in the distribution of responsibilities. However, when planning and developing a long-term development strategy, partners may include plans to return to business as usual after overcoming difficulties.

If you go through all these steps consistently, you can build a productive communication with a partner and develop a business without serious conflicts. In order to have fewer reasons for disagreement in the future, it is necessary to foresee all the nuances as much as possible and fix them in the contract. By signing it, a person feels responsible for his part of the work. In addition, if the agreements are violated, the document will serve as a strong argument for resolving the conflict.

How to improve relationships between partners

The success of interaction depends on how business partners will be able to behave consciously, comply with agreements and fulfill their part of the obligations. If conflicts still arise, they should be resolved taking into account the following principles.

Establish open and honest communication based on mutual understanding

Each decision of one of the partners must be motivated: "I want to do this because ...". The other is obliged to listen to the arguments, take them into account and express his arguments if he disagrees with something.

This principle should work in relation to both large-scale issues and routine tasks that directly affect the area of ​​responsibility of the partner. So, if one of the co-owners of an advertising agency decides to make changes to the design of the project, he is obliged to inform his colleague, as this may affect the campaign strategy and other nuances.

When it comes to which service to choose for designing the layout, the expert partner can solve this problem himself. His preferences will not affect the overall result, so it makes no sense to bring up such nuances for discussion.

If it is not possible to reach a compromise on issues that are significant for the company, you can invite a mediator - an independent mediator who is involved in resolving disputes or conflicts. For routine tasks, this method is, of course, too complicated and costly. Here you need to look for an option that will suit both and benefit the common cause.

Respect and acknowledge the contribution of each partner

The responsibilities of all business participants should be clearly defined. But this does not mean that their implementation should be taken for granted. Everyone is pleased when their work is appreciated.

Notice the contribution of the partner to the common cause. Give thanks in general for the fact that a person invests a personal resource in him. And if there were special achievements, it is worth mentioning this separately or informing employees at a meeting.

Support each other

In difficult times, it is important to feel that there is a person nearby who you can rely on. Together, look for a way out of the situation so as not to lose heart. So, if it went down sales and profits have decreased, it is important not to step back and not to shift responsibility to another, but to think about a solution.

Even if one of the partners does not understand anything in the field of marketing, he can support with words, find a good audit firm, state his vision of the problem. Sometimes a fresh look from the outside gives specialists new ideas for developing and correcting the situation.

Building harmonious relationships between partners is the basis of long-term success in business. And it depends only on the participants themselves how productive the relationship will be.