And what if partnerships are destined for dissolution

#entrepreneur This week Karnit and Sling Gefen # post 6
Personally, I really like community and collaborations in every area of ​​my life. At the same time, when they talk to me about a partnership, after 23 years in the profession, I usually use a joke to explain that the chances of these surviving are not good. Yes, I know it must be different for you. Partnerships last a long time and uplift you. But my experience shows that good partnerships (especially between friends and family members) can end in such ugly fights... Of course I have an example.
A young entrepreneur located a stunning property at an excellent price, and wanted to purchase it, but she was missing about 30% of the property's value, which she was unable to raise. She turned to her mother, and asked for a relatively short-term loan. The mother, who herself was looking for options to invest the money she had freed up, offered the entrepreneur a 50-50 stake in the property. The entrepreneur was happy about the offer, and informed the broker that the deal could be moved forward. No partnership agreement was signed between the mother and the entrepreneur. As part of the inspection of the property before the purchase, several serious defects were discovered, the transaction price was reduced accordingly and the sales contract was signed. Immediately after the purchase, the entrepreneur began to take care of the defects and the rental of the house. The mother was not involved, but at a certain stage, some time ago and the rent payments had not come in, she began to suspect that she was not receiving her share. She opened the issue in front of the entrepreneur when she was understandably offended to the depths of her soul. From here to there, an ugly conflict emerged between the two, mother and daughter, which included secret recordings, consultations with lawyers about filing claims for liquidation and damage claims and what not. worth it? Definately not.
In the absence of sufficient personal capital or out of a desire to divide the eggs in several baskets, a partnership can be a good solution. But, and it's a bit of a pity, it's a relationship for anything, usually without the glue of great love or with different interests that overshadow it. And like any relationship, we at most know how we start from there all the good and not so good options are open.
Choose your business partner wisely (take a look at the potential heirs as well); Match expectations; and sign a partner contract. The more specific and precise you are during the negotiation phase, the more future problems will be saved. For example: when will the property be sold? in what way? Will partners be given the right of first refusal? What happens in cases of non-cooperation? Is any of the partners a managing partner? Which of the partners is authorized to sign? Are there decisions for which the decision of all the partners is not necessary? How will the rent and expenses be managed? The status of the heirs? separation mechanism. Sign it and I hope you don't have to because the partnership will flourish and the friendship will increase. so be it.
This is the last post for the week.
Many thanks to the admins for the invitation - I was really happy.
Thanks to everyone who read, commented, contacted - always warms the heart.
 
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