Have a colleague or partner in business is a reasonable thing in running a business. There are some people who choose family or friends as partners in the business. Why is it with family or friends? Because they are the ones that we think are closely and get to know it better than anyone else. Of course, it will facilitate communication and minimize business risks.
One of the Disadvantages of doing business with family or friends
Although it will ease communication, but in terms of ber-partner with family or friends have shortcomings, namely the lack of professionalism. This occurs due to the absence of a firm rule in running a business. Often there is a sense or feel free to discharge if had to reprimand when an error occurs. If this is allowed to continuously, it will interfere with the operations of your business.
Tips for doing business with family or friends
With anyone you work together, attitude professionalism must remain guarded. Here is how to maintain a professional doing business with family or friends.
1. a clear description of the work
Before you start doing business with family or friends, make sure you’ve prepared a clear jobless. Sit together and discuss each assignment in accordance with skill and experience. Determine also who’s responsible when an entry was not due to illness or leave. With a clear division of tasks, then their respective personnel will know the tasks and responsibilities of each.
2. Determine the ownership of a business
In General, the Division of the percentage ownership split 50:50, 40:60, etc depending on the magnitude of capital given. Determine business ownership should be discussed seriously. In addition to considering the magnitude of the increase in capital was also in terms of time spent in running the business, which is working on it full time or part time.
3. Discuss risk
Analysis of risks in doing business should be done, including even the worst risk, for example, of the possibility of disconnecting your friendship. Discuss the various possibilities of risks with a partner will make you ready with precautions when problems occur.
4. A written contract
Doing business with family or friends could do not mean arbitrarily. In addition, to clarifying tasks, responsibility, and ownership of the business, the thing that is often overlooked is the existence of a contract or written agreement which is a legal proof. With the existence of a contract or written agreement will reinforce the things that already agreed with and support the professionalism your cooperation. The deal which is usually listed in the contract include: an explanation of how the company will be run, the determination of rights and obligations in the work, setting the ownership of shares in the company, the determination in a decision that will be made, and procedures in the settlement of disputes. You can also add a couple of points that you think are important to be poured in the contract. Do not let a business trip cooperation with family or friends become bogged down because it is not professionally managed.
5. Determine for results
Division of profit results must be done transparently by mutual agreement. Ideally is each party that put the capital stock should get a division of business results according to the percentage of capital given. Discuss the results openly done so that there is no wrong prejudice. Isn’t the main capital in partnering is mutual trust and openness? Many businesses or businesses that are already established and worked well, but it must run aground due to profit sharing.
Doing business with family or friends it was fun. However, if the absence of a commitment or an agreement that is clearly in the running of the business, then it will backfire to your business. The five points above will help your business with family or friends in order not to end up with the dispute.