Who are partners?
Partners are entrepreneurs who make a conscious choice not to “go it alone.” They’re in business together. Usually they’re co-owners, but not necessarily.
In family businesses some next-generation family members may not actually own any interest in the company, but they might be considered partners because it’s close to certain they’ll own someday.
Forward-looking parents in family businesses will insist their adult children who will one day become partners develop a Partnership Charter. That way, the siblings have a real way of proving to themselves – and their parents, the current owners – that they will likely succeed as partners.
Types of partners using the Partnership Charter
Existing Partners
Start-Ups
Next Generation Partners
Partners In Transition
“It’s okay to spend a lot of time arguing about which route to take to San Francisco when everyone wants to end up there, but a lot of time gets wasted in such arguments if one person wants to go to San Francisco and another secretly wants to go to San Diego.”
Steve Jobs, Co-Founder of Apple Computer
The price of failure
Distracted Owners and Employees
Precious time and money is lost his partners are absorbed in their relationship instead of the business when owners focus is lost employees is sure to follow.
Emotional Pain
Partners invest a great deal in each other – emotionally as well as financially. When that investment goes bad and stays bad, it hurts more with every passing day.
Lack of Strategic Direction
Divided leadership produces inconsistent direction or none at all.
Business Decline or Failure
The efforts and dreams of decades can be lost economic security for families can be lost respect and reputation can be tainted.
“When people ask me why I started a company whose sole purpose was resolving disputes among business owners, I tell them that my life, like those of millions of others, has been influenced by business partnerships. The quality of partnerships can have a lasting effect – for better or worse – on the people involved, and I wanted to increase the odds that those effects would be for the better. The purpose of this book is similar: to introduce potential and current partners to a process, the Partnership Charter, that can help them create partnerships that will realize their dreams, not their nightmares.”
The opening paragraph of The Partnership Charter by Dr. David Gage
Partners get the level of assistance they need
Partners choose an advisor through the Referral Network and select the level of assistance that’s best for them, from comprehensive guidance to limited support.
Guided
Either one or two “Guides” (advisors who manage the entire process from start to finish) keep the partners progressing, make sure they don’t skip over any sensitive or difficult conversations, document their understandings and agreements, and write and revise the Charter drafts.
The Guides also ensure partners thoroughly understand the complexity of their partnership, and the connections among the 13 critical elements.
Partially Guided
Partners with limited financial resources, or a “do-it-ourselves” flair can elect to do some or all the work on their own. Partners use the same Workbook and draft templates, but must facilitate their own discussions and negotiations, and be responsible for drafting their Charter.
With a licensed PC advisor (Guide) in the wings, however, partners have the option of requesting facilitation with their negotiations if they get bogged down on a particular topic, or they can opt to convert to a Guided Charter if they decide working with a Guide is the wise thing to do. Their Guide can facilitate (or mediate) any Joint Meeting negotiations the partners would like assistance with. The Guide can also assist with drafting the Charter if the partners wish. DYP allows various types of assistance to happen seamlessly.
Why partners fight and
why the Partnership Charter is so unique
An amazing 95% of all companies in the US are closely held. Every year thousands of people tie their futures and fortunes together and jump in the business as partners only to discover that it’s harder than they ever imagined.
Media interviewers for years have asked TPCI founder, David Gage, the same question:
Why do partners inevitably fight and so often wind-up dissolving their partnerships? Is it incompatible values? Turf battles? Money and greed? Unmet expectations? Equity battles? Personality clashes? David’s reply is simple: Yes. Yes, and Yes! It’s all these things but at the heart of most partner conflict is poor planning.
Besides causing partner conflicts, poor planning causes countless partners and their companies to under perform the success of mini closely held businesses is directly tied to the success of the co-owners relationships, and their relationships often suffer because their deal their partner arrangement is either ambiguous or flawed meaning it contains provisions that would cause mold almost any partners do you have trouble working together that’s what makes the partnership charter process unique there’s no other comparable tool for partners and their advisers.
Ready to Design Your Partnership?
Set up a no-cost meeting with an advisor who understands partnerships and is licensed to use the Partnership Charter System. They will answer any questions you have and get you started on the road to clarity and confidence.
“I am writing to express my sincere appreciation for the exceptional assistance we received that allowed us to develop a Partnership Charter. We were three entrepreneurs who jumped into business together even though we lived over 8,000 miles apart. We knew we had a terrific idea and the right complement of skills and experience to have a very successful company, but we didn’t know what we didn’t know about being partners.”
Shalom Stark (center), CEO & Founder, Invoice Ninja, flanked by his two partners, David Bomba and Hillel Cohen
