Partnership and General Business Advice by Chris Reich
Partnership Advice and Business Improvement Tips
by Chris Reich, TeachU
These articles are here for you to use freely. Share them with your business partners and employees. You are free use business tips in newsletters or your own blog posts. All I ask is that you cite the source as Chris Reich, TeachU.com. (A link would be GREAT!)
I spend the time to produce these tips to help people in business. Feel free to send me your thoughts: Chris@TeachU.com.
When Does a Partnership Begin? And End?
I get calls from frustrated business partners all the time. Often, the level of tension is so high, that one partner will move the banking, hide the books, take out a lump sum of cash, close out all social media, or some other drastic measure before properly closing out the partnership. This post explains when it is legal to take action in a partnership when a partner is disruptive.
The Fiduciary Duties of Partners in a Business Partnership
Partners in a business partnership, other than limited partners, have legal obligations to the partnership that are called the Fiduciary Partnership Duties. In this post, we’ll look at these duties and, hopefully, clarify what they mean.
You Can Backdate Agreements in Business Legally
Many people are trying to work out new arrangements with their business partner but find themselves in bad place on the calendar. Despite both parties agreeing to a change, it could take months to worth out the terms. Don’t worry.
Discuss, Agree, and Document How Partners Will Be Paid
This might surprise you. Compensation does not have to be equal in a 50-50 partnership. You can, in fact, do anything you want as long as it’s agreeable with your partner or partners. Read on!
In Mediation Use Sense and Don’t Fight Over Cents
When business partnerships go bad, very often someone wants out. That starts one of two possible processes. The business enters Wind Down and begins the process of closing or the partners start discussing a Buyout.
Funny Friday: Video Conferencing
Video Conferencing is sometimes riddled with issues. If you’re working remotely this should give you a good laugh. Enjoy, Chris Reich
Do Not Stop Working if You Want to Leave the Partnership
When the business partnership breaks down, the darker sides of the personalities come through. A dominant partner turns into a bully. A person who does not do well with conflict will withdraw. As the bully gets more aggressive, the pacifist withdraws further. Eventually, the bully gets so angry they are ready to lock the other partner out. The pacifist quits coming in. The next blowout is over money. The course is as logically predictable as what will happen to your car if you hit the highway with no oil in the engine. It will get louder and louder until the engine seizes.
How to Draft Resolutions to Strengthen Your Partnership
I recommend that partners talk through a specific issue and then draft an agreement (called a resolution) that sets a policy. You can keep this in a binder to serve as amendments (or foundation) to your Partnership Agreement. In this post I’ll explain how to talk about things that bug you with your partner and how to draft a binding resolution to fix the problems.
When Politics and Business Partners Don’t Mix
Unless you are in some sort of political business, you should keep politics out of your establishment completely. Of course, you have freedom of speech, but we are in very contentious times and displays of political or religious positions might be off-putting to to your customers.
Relatives Should Never Keep the Books in a Business Partnership
Even when people get along well, having one partner’s relative handling the books just isn’t good policy. There is an inherent conflict of interest.
About Documenting Partnership Expectations
Many partnership disputes begin around expectations not being met. But were they ever defined in the first place?
5 Points to Consider When a Partner Is Locked Out Of the Business
Locking a partner out is a risky move. The locked-out partner has rights that if violated could entitle him to reinstatement and damages.
What Should Be Included in Your Partnership Agreement
There are many things to cover in a solid Partnership Agreement. In this video, I’ll explain the items that need to be covered. You may have other items to include as well. Keep in mind that there are many ways to address each clause. My job is to offer you options and to help partners agree on how they want to address every line item.
Protect Your Interests with a Partnership Agreement
Your Partnership Agreement protects your interests. Ideally you would go to a qualified business attorney and have the proper legal document drafted. But if you are putting it off because of the expense, you can get the key items on paper to protect you and your business.
It May Be Legal to Lock Your Partner Out of the Business
There are times when you legally can and should lock your partner out of the business. But, those are rare circumstances. Locking your partner out, even if your partner is showing bad behavior, open you to potential liability.
3 Signs That a Partnership Is Never Going to Work
I pay close attention to what is expressed during my private interviews before we start a mediation process. There are 3 signs a partnership will fail.
Tip for Talking with Your Business Partner
Anyone who starts a business has many hats to wear. Sales, manager, accountant? You will wear them all in a day. Be careful when you talk!
Business Partnership Problems with Someone You Were Dating
What happens with the business when people break up? Here’s the information you need to make big decisions and protect yourself.
Beat Stress and Depression By Doing This Simple Thing
Is the news, confinement, money problems, fear of the unknown making you depressed? Do this!
Your Business Partnership Can Survive if You Know the “Why”
If you can express why you would like to stay in business with your partner, I can help you figure out how to make it work. It’s that simple.
Most Popular Posts
Violence By a Business Partner Is Never OK
If your business partner ever is violent, call 911 immediately. Yes, even if he missed. You want to document threats of or actual violence.
The Fiduciary Duties of Partners in a Business Partnership
Partners in a business partnership, other than limited partners, have legal obligations to the partnership that are called the Fiduciary Partnership Duties. In this post, we’ll look at these duties and, hopefully, clarify what they mean.
Do Not Stop Working if You Want to Leave the Partnership
When the business partnership breaks down, the darker sides of the personalities come through. A dominant partner turns into a bully. A person who does not do well with conflict will withdraw. As the bully gets more aggressive, the pacifist withdraws further. Eventually, the bully gets so angry they are ready to lock the other partner out. The pacifist quits coming in. The next blowout is over money. The course is as logically predictable as what will happen to your car if you hit the highway with no oil in the engine. It will get louder and louder until the engine seizes.
When Politics and Business Partners Don’t Mix
Unless you are in some sort of political business, you should keep politics out of your establishment completely. Of course, you have freedom of speech, but we are in very contentious times and displays of political or religious positions might be off-putting to to your customers.
Business Partnership Problems with Someone You Were Dating
What happens with the business when people break up? Here’s the information you need to make big decisions and protect yourself.
Coronavirus, the Economy, and Your Business Partnership
Before we found ourselves in this terrible mess, many businesses had partnership issues. If your partnership has problems, now is the time to deal with those things that cause tension.
8 Tips for Better Communication in Your Business Partnership
Use these 8 tips to talk with your business partner. Most partnership issues are rooted in communication problems. Most problems can be solved if partners…
Have Chris Reich of TeachU Help Create Your Perfect Partnership Agreement
I am a business partnership mediator. Every day partners come to me to help settle disputes or to reduce tension. I always recommend a Partnership Agreement.
How to Get Out of a Partnership LLC
While it seems like it should be very easy to get out of an LLC, it can be complicated. Even if the business is very small, there are considerations beyond getting your money back. In this post, I’ll try to hit the important points of getting out of an LLC Partnership. These same items apply if you want to remove a member from your LLC too.
Business Mediator Can See Around Corners to Help You
Sometimes people will intentionally make an effort to trigger anger, frustration, or irrational behavior. As a Business Partnership Mediator, I see this behavior often and can help calm things down so we can have a rational discussion toward resolution. Seeing ahead is a super-power! I can see where the problems are and the best possible outcome.
How Long Does Business Mediation Take?
The amount of time needed to work out an agreement is in the hands of the disputing partners. We could talk a few minutes about options and reach agreement. But that never happens.
Ultimatums Kill the Chance of Reaching Agreement Between Partners
Whenever a partner makes an ultimatum when I’m working to bring people together, the damage is almost always irreparable. Issuing an ultimatum is a disrespect to me as a mediator and the other partner or partners involved. Line-in-the-sand demands take away any room for negotiation.
The Partner You Have or the Partner You Wish You Had
We often form partnerships because of the way the relationship works. One person wants to be in charge and the other is fine with that. Then something comes up and the expectations cause tension. We have to deal with the partner we have, not the one we wish we had.
Things to Know About Partnership Buyouts— Part 2
Here are more things you need to know if you are opening buyout talks with your business partner.
Things to Know About Partnership Buyouts— Part 1
Buyouts between partners are usually mired in things that people think are legal entitlements. Let’s look at the most common misconceptions around buyouts.
Violence By a Business Partner Is Never OK
If your business partner ever is violent, call 911 immediately. Yes, even if he missed. You want to document threats of or actual violence.
Why Is This a Big Surprise in Buyout Negotiations?
Don’t be surprised if parties act in their own best interest during negotiations. That is normal. I would be surprised if they didn’t!
Negotiate Your Best Partnership Buyout Using Game Theory
Game Theory is a very useful tool in business negotiations. In this post, I’ll give a broad overview on how Game Theory can help you negotiate your best deal with your business partner.
Most Popular Posts
Do Not Stop Working if You Want to Leave the Partnership
When the business partnership breaks down, the darker sides of the personalities come through. A dominant partner turns into a bully. A person who does not do well with conflict will withdraw. As the bully gets more aggressive, the pacifist withdraws further. Eventually, the bully gets so angry they are ready to lock the other partner out. The pacifist quits coming in. The next blowout is over money. The course is as logically predictable as what will happen to your car if you hit the highway with no oil in the engine. It will get louder and louder until the engine seizes.
When Politics and Business Partners Don’t Mix
Unless you are in some sort of political business, you should keep politics out of your establishment completely. Of course, you have freedom of speech, but we are in very contentious times and displays of political or religious positions might be off-putting to to your customers.
Business Partnership Problems with Someone You Were Dating
What happens with the business when people break up? Here’s the information you need to make big decisions and protect yourself.
Coronavirus, the Economy, and Your Business Partnership
Before we found ourselves in this terrible mess, many businesses had partnership issues. If your partnership has problems, now is the time to deal with those things that cause tension.
8 Tips for Better Communication in Your Business Partnership
Use these 8 tips to talk with your business partner. Most partnership issues are rooted in communication problems. Most problems can be solved if partners…
Have Chris Reich of TeachU Help Create Your Perfect Partnership Agreement
I am a business partnership mediator. Every day partners come to me to help settle disputes or to reduce tension. I always recommend a Partnership Agreement.
Business Partners Must Agree to Agree
If you make an agreement with your business partner that you will ALWAYS reach agreement on ANY business item that comes up, no matter how strongly you both feel and no matter how far apart on an issue, your partnership will thrive.
Can You Get Rid of Your Business Partner?
In order to remove a partner you’ll need to take legal action and then you must prove your case in court.
I Am Afraid of My Business Partner
When one partner becomes totally beligerant and refuses to communicate, it is important to protect the other partner. These situations get pretty close to needing an attorney which can get very expensive.
Can Your Business Partner Take You Off The Bank Accounts?
If you are in a business partnership, call your bank and find out if you have a joint account. If you are “on” the account but it’s not a joint account, change it.
All work is fully confidential from the first moment of contact. Every new client relationship begins with consultations with all parties. It's important to me that we all feel good about working together before we start. This site does not provide specific legal advice.
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Clients who have worked with lawyers, counselors, consultants, and coaches often tell me that my business mediation service is the best and least expensive way to fix a partnership.
— Chris Reich, Business Mediator