There are many reasons why businesses partner up and believe it or not it not only helps your bottom line but also yourself as an individual. At times an entrepreneur's life can be frustratingly lonely, with a partnership they have another person going through the life of the business as well as someone to bounce ideas off of to make sure the business stays as viable as possible.
Personally, I have not only partnered with other businesses (both related and un-related to my services) but I continue to connect with such. This is not to say all the situations have been positive however but through it I have learned that three things need to be part of the relationship in order to result in the best results for everyone involved both personally and financially.
Passion
Both companies or when its entrepreneurial, individuals should have either close or the same or at least relatable passions for their business and clientele. Many times I have heard from clients who created business relationships with people who were more for the bottom line of their business than for their clients while my client was for the latter than the former. This not only created conflict but at times resulted in as extensive a result as legal action.
Currently one of my relationships is with a book coach. We both love the written word as well as understand how books can help businesses or present an expert. This not only helps our business relationship but also creates a deeper connection that can do nothing but assist our clients better.
Profit
Of course, we are all in business and therefore the financial bottom line is of incredible importance. That being said not only should both partners see an influx in their income (whether it be through referral fees or their own clientele whom they can now provide more for), but also enough for them to be satisfied with the partnership and its prospective future. Now this may be a bit imbalanced as it is always dependent on the offerings of either partner and what the client needs. But there should always be some level of influx either way.
In fact, at the start of the relationship there should be a detailed contract between both, written in some way and agreed upon in some way, that specifies the amounts in as precise amount numbers as possible. This not only helps evade any possible arguments, but also makes sure both know their financial requirements to each other should a partner need the other for a project.
Possibility
Not unlike a marriage, relationships can get stale. Therefore in a business partnership there should be some time put aside to discuss possible new adventures that both can be involved in which will enhance both companies not to mention the connection between them. Currently, I am speaking to a business partner about a schedule of e-seminars we are going to present prospects of both of our business. This not only deepens our relationship but also allows us to show our expertise individually as well as how we can be a great team for a prospect to choose for a project.
In the end, a partnership should have a strong beginning foundation, understood terms and a look toward either the short term or long term future consistently. We are all in business, but it doesn't mean we cannot help each other and in the end so many more lives.