How To End A Business Partnership Without Breaking The Bank

How To End A Business Partnership Without Breaking The Bank

Business partnerships are always started in the best of interests. Nobody gets into a partnership to one day get out of it. However, statistics show that up to 70% of business partnerships fail.

This is not surprising since many partners stop seeing eye-to-eye a few months or years down the road. It can be one of the most challenging disputes since not only the integrity and the reputation of your business is involved, but if not done properly, the separation can cost you thousands of dollars.

In most cases, it is almost impossible to determine whose fault it is. Hence, it is best to take the sophisticated route, maintain control and negotiate a fair settlement peacefully and affordably.

In this blog, we have discussed what route you can take when ending a business partnership to minimize monetary loss.

What Can Cause A Dispute?

Running a business requires you to make several difficult decisions that not all members of the board will always agree upon. However, as the CEO or a board member, you have to put the interests of the business first. Some of the reasons business partners may start getting into a feud or start drifting away are:

  • Lack of communication
  • Misalignment in values
  • No shared vision
  • No longer seeing eye-to-eye
  • A change in goals
  • Clashes over who contributes more
  • Disagreements on how the company operates
  • Disputes on what direction the company is going
  • Irreconcilable differences in opinion

Whatever the reason may be, harboring negative feelings can make it almost impossible to work together. This may also lead to a complete breakdown of the business. At this point, it is important that you protect your interests throughout the ordeal. If you had developed a Partnership Agreement in the past, this might help the process. However, if you have not, reaching a conclusion might be a tad bit difficult.

Spot The Signs

If you see that you and your business partner are drifting apart, don’t try and keep the relationship going until things get worse. With time small signs can turn into big red flags. If these signs are left unchecked it can reach a boiling point, turning the best of the relationships into the worst. Since at this point, both parties are annoyed, reaching a conclusion is unlikely.

To avoid that and to help ensure an amicable breakup, you need to be able to spot the signs of a failing business partnership before it reaches a toxic breaking point.

Make Fast Decisions

If you are spotting noticeable signs such as your business partner suddenly starting to slack off or is not giving the business his or her all, it is important you make the right decision fast. Don’t ignore tensions, disputes, and outright arguments.

It is naive to spend months ignoring tensions, disputes, and outright arguments. It is better to talk things over and make a decision to preserve the interests of both parties and the business.

Communicate

Most issues between business partners arise due to a lack of communication. Whether you want to try and salvage the relationship or if you want to break off the partnership, keep the dialogue going. Avoid unnecessary bickering and arguments. Try to communicate with each other without feelings of resentment and anger.

Be reasonable and figure out a way to talk things through without having to involve the authorities. You might have to give away a little more if you want to preserve your friendship.

Call In The Experts

Sometimes, to come to a wise and sustainable conclusion a third party is required. Getting the advice of an independent expert can go a long way in achieving that goal. A third party that has no stake in the business can provide objective advice, which can help limit arguments and resentment.

At Mediation Services we understand the volatile nature of partnership disputes. Our mediation experts have been trained to provide alternative dispute resolution services to help you and your partner reach a conclusion that is beneficial to both.

We offer a flexible, and cost-effective alternative to the long, expensive resolution system that involves the courts and judiciaries. Our mediation services will provide both of you with an unbiased, and neutral mediator who will facilitate a reasonable discussion. For more information about our services contact us.

Top Benefits Of Availing Mediation Services

Top Benefits Of Availing Mediation Services

Disputes happen, and in most cases cannot be ignored. However, you can resolve them with the help of a mediation service. Mediation services play an important role in settling conflicts by listening to both parties involved. They conduct separate sessions with both parties and then a joint session to come up with a final solution to the problem.

Mediation services can solve many personal family problems, workplace issues, or neighborhood or community conflicts.

Keep reading to find out more about the benefits of mediation services in resolving conflicts of different kinds.

It Is Completely Confidential

One of the best benefits of mediation services is that it keeps all the information that you share confidential and doesn’t disclose your information to the opposing party or anyone else. Both parties can come together or in separate sessions to a neutral place where they can discuss the conflict openly and are assured of its confidentiality.

It Is A Cheaper Solution

Going to court can be quite expensive, draining, and time-consuming. Courts often can’t settle your dispute in one or two meetings alone. Rather, the proceedings are dragged for long periods and can escalate conflicts to dangerous levels.

On the other hand, mediation services are much more reliable when it comes to cost and time-saving. Mediation services offer you confidential meeting options and are much cheaper than court options. It saves you from the fatigue of going to court and saves you from having to go through legal procedures.

It Lowers Your Stress

Going to court to deal with a conflict can be stressful. Going through a dispute along with dealing with the stress that comes along with everyday life, plus the burden of court proceedings can lead an individual to think irrationally, which might lead them towards breaking off relationships.

Mediation services help you choose the right path to resolve your conflict. It lowers your stress levels when you have someone you can talk to about your issues, and can suggest some expert advice to you without causing any further drama.

It Preserves The Relationship

Nobody wants to have to go to court to resolve their conflicts because it is time-consuming and stressful and can permanently affect relationships. Mediation services provide an effective and solid ground for both the parties involved so that their relationships are not affected.

This is especially essential in a workplace environment where you don’t want to affect your reputation in the market when applying for a new job as court proceedings will show up in background checks. It helps to preserve commercial relationships, so you can continue to trade with opposing parties. It also allows you to work peacefully in a workplace environment and preserve your family where children may also be involved.

You Have More Control

Mediation services allow you to reach a conclusion at your own pace. The experts that act as mediators help you reach a state of mind from where you can understand the point of view of the other party.

Moreover, unlike court proceedings, you won’t have to adhere to a certain schedule. You can move fast or slow, according to your state of mind.

About Mediation Services

Do you want to reach out to a safer and more reliable option to settle your conflicts? Call Mediation Services to have your family, neighborhood, or workplace conflicts resolved by our professionals. Our online workshops and on-site training can resolve your issues without any emotional stress.

If you have questions,
please don’t hesitate to call.

1-204-925-3410

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