Going into business with a partner can be a great way to maximize your efforts and success. Your strengths and weaknesses may complement your partners’, giving you the best of both worlds.
However, partnership disputes often arise, and it’s essential to know how to deal with them so you can get back to business. Here are five ways you can avoid or dissolve partnership disputes.
Before taking on any business partners, think about each person’s role and how compensation will work. Have an ironclad agreement written up by your attorney and have all parties sign it, so everyone is on the same page and there is nothing to argue about later. Some things to include in your contract are:
Be sure to hire a reputable attorney to draft your partnership agreement and review your contract’s fine print. The goal is to protect your interests in the company. Don’t overlook this critical step. You never know what the future will hold and while everyone is getting along is the ideal time to put in place protections for later.
If a conflict arises, make a habit that all business partners sit down and openly discuss the issue rather than immediately take legal action. It’s easy to let things fester, but when it comes to business, the best thing is to air the grievances openly and reach a comfortable agreement as quickly as possible. Focus on the problem and what is best for the business. Keep personal issues out of it.
If the partnership dispute is a serious one that you cannot seem to resolve on your own with discussion, consider hiring a mediator or third party to hear both sides and help everyone come to an agreement. A mediator is skilled and impartial and can take confrontation out of the process.
Consider dissolving the partnership if you still cannot come to an amicable agreement.
If things get really ugly, you may need to hire a lawyer to help you resolve the issues, uphold the original agreement, or force a partner out. Choose to speak to your lawyer earlier rather than later. Business attorneys are experienced and could help you find a solution before it’s too late. They will use their expertise to guide you toward the correct solution.
If you need help with a partnership dispute, contact Haber Law today.
Miami-based Habel Law set up shop in two new cities in South Florida to expand…
As most construction litigation practitioners are aware, the vast majority of construction defect cases settle…
In the world of high-end residential real estate, developers are constantly pushing the boundaries of…
The reading of a community association’s election results can be filled with mixed emotions ranging…
A well-drafted partnership agreement among law firm partners is often the initial step to long-term…
The leadership team at Haber Law today announced the promotion of long-time office administrator, Nilka…