Disputes with your business partner can be catastrophic. Your company could potentially grind to a halt if you can’t find a solution. In some cases, disputes get to be so serious that one person decides to leave the company entirely.
Because these issues are so consequential for the business, it’s important to spot them in advance. Below are a few red flags to look out for that may indicate that a dispute with your business partner is brewing.
You have a different vision or a different mission
Your goals for the company should be relatively the same. Even if the two of you have different roles within the business, you should always feel like you’re working together. When you have two different visions for what the company should be, that leads to disputes.
Your business partner is not good at communication
Knowing how to communicate is critical, especially with a business partner. If this person does things without talking to you first, never responds to text messages or gives you confusing responses, it’s only a matter of time before that leads to a dispute.
You don’t know what roles you have
Sometimes, business partners will simply treat each other as co-owners, with no defined roles. But this can be a problem, because you may always feel like you are stepping on each other’s toes or like your business partner is not performing the duties you expected of them. It’s better to sit down and clearly define the roles that you’re going to have within the business and what you’re going to be paid for your contributions.
They’re only focused on their own success
Your business partner should want the company to succeed and they should want you to succeed. If it feels like they’re only focused on their own personal success, then are they just using the business as a stepping stone in their own career? When someone is so self-centered, you’re probably going to have a dispute with them at some point, because their own best interests are going to come before the company.
What are your options?
These are just a few potential reasons why disputes arise. If you do find yourself in this situation, you need to know about the legal options at your disposal. Seeking legal guidance is likely your best first step.