How to Get a Partnership Deal for Your Business

A partnership deal can take your business to the next level. No business is too new or too small to start considering potential partnerships.

To find out how other business owners navigate partnership deals, we asked successful entrepreneurs for their tips. Here’s what they had to say:

1. Be Transparent

Successful partnerships happen when both parties are fully transparent. Transparency leads to mutual trust, increasing confidence in working together and growing each other’s businesses. – Alex Frias, Track Marketing Group

2. Make It Clear That You’re There to Help

Make it clear to your potential partner that you are there to help and can execute. – Trace Cohen, Launch.it

3. Enact a Vested Value Clause

To protect each party, enact a clause suggesting a “vested value”. The benefit gained by the more active party strengthens if the actions aren’t reciprocated. Use an attorney to arrange this. – Logan Lenz, Endagon

4. Communicate Respectfully

Emphasize the importance of respectful communication. Open lines of communication allow employees and leaders to adapt to a new partnership smoothly. – Jay Wu, A Forever Recovery

5. Create a Mutually Beneficial Partnership

Focus on long-term value. Set the stage from the start, being fully transparent about your desire to create a mutually beneficial partnership. – Kristopher Jones, ReferLocal.com

6. Make Sure You Have a Way Out

Include a clause in your agreement allowing you to dissolve the partnership if necessary. Write down what happens to all assets to avoid potential problems. – Andrew Saladino, Just Bath Vanities

7. Do a Transparent Pilot Program

READ MORE  How to Launch an Awesome Kickstarter Campaign

Incentivize both sides by doing a completely transparent pilot program. Share all metrics and be honest about what went well and what could be improved. This honesty lays the foundation for a great partnership. – Chuck Cohn, Varsity Tutors

8. Work Toward a Good Outcome for all Parties

Negotiate a deal where everyone feels it was a great outcome. This leads to more happy customers, referrals, positive reviews, and good juju. – Matt Ehrlichman, Porch

9. Do Business With Trustworthy People

Do business with people you trust and like. Ensure there is a clear benefit financially, strategically, or perception-wise. Ask yourself if the partnership truly benefits both parties. – Adam DeGraide, Astonish

10. Answer the Hard Questions

Answer hard questions and define parameters in a well-explained document. This avoids confusion about roles and outcomes. It also brings potential contingencies to light. – Benish Shah, Vicaire NY

11. Have a Strong and Clear Deadlock Provision

Include a clear provision in the contract for deadlock on a key matter. Both sides should know what happens when they cannot agree on something fundamental. – Peter Minton, Minton Law Group, P.C.

12. Focus on the Spirit

If both parties understand and acknowledge the spirit of the deal, the details fall into place easily. This also makes it easier to unwind the deal if necessary. – David Cohen, Round Table Companies

13. Get Clear Information Flow

Create a detailed plan for how information will be shared and who will be responsible for communicating specific elements. This helps alleviate stress and potential roadblocks caused by communication problems. – Martina Welke, Zealyst.

Leave a Reply

Your email address will not be published. Required fields are marked *