How to Get Out of a Bad Business Partnership and Go It Alone

Posted by Caron_Beesley under Strategy
From https://fundbox.com 2312 days ago
Made Hot by: kingofcontent92 on October 4, 2016 8:33 am

A business partnership can be a great opportunity—diverse skills, someone to bounce ideas off and strategize with, and of course, shared risk. However, with shared risk comes liability. If your partner does something to lose an important client or incurs debt, your finances suffer too. Worse, if they get into a nefarious situation that lands you in court, you’re just as liable for the damages as they are.

Personal conflicts also arise. Perhaps one partner doesn’t have skin in the game, isn’t pulling their weight, or you’re simply not seeing eye-to-eye on the direction of the business. As a result, things have become hostile.

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Comments

Written by tiroberts
2304 days ago

Thanks for the info.

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Written by lyceum
2307 days ago

Caron: Thanks for sharing your story. It could be tough sometimes, but you learn from it. I wrote a piece on this topic on Open Forum some years ago.

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Written by lyceum
2308 days ago

Caron: Have you got out bad business partnerships? If so, how did you solve the situation?

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Written by Caron_Beesley
2308 days ago

I haven't but I've witnessed someone close to me get into one and come a cropper because of financial liability of the other partner, that resulted in bankruptcy. Always consult a business lawyer and draw up a partnership agreement, so that both parties are fully aware and agreed as to what they are getting into, and how they can exit, if needs be.

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