An article in the Harvard Business Review “Don’t Pick Your Business Partners Based on Personal Chemistry” was mostly about getting everything sorted legally and started:
Having a good personal rapport with someone can help you see opportunities for working together, but chemistry is a poor foundation for business deals. Partnerships need to face tough analytical and legal questions before they happen. That may seem like bad relationship manners, but it’s good business practice. Serious business partners will respect your due diligence. Start by evaluating the partner’s resources and capabilities. Legal clauses seldom protect against partners simply not having what you thought they did. Next, explore options with other potential partners. Is the partner you have in mind really your best bet? Once you move forward, protect yourself by building in concrete mechanisms for joint governance. You want to trust your partners, but do so only after properly structuring the relationship. And after the deal is signed, don’t be surprised if your partners pursue their interests and use their leverage. It’s not disloyal. It’s good business.
Take a look at this posting from 2013:
This is the story of a venture that failed, the business survived but the fallout and bad feeling between the participants persists. It wasn’t a dental practice, it could well have been and, bearing in mind the readership, I will retell the tale as if had been a clinical practice.
Mike and Neil are two practice owners, for several years they have been running their own successful “one-man bands” with varying amounts of staff support. Occasionally Neil provides holiday cover for Mike and has taken some referrals from him for the specific skills that he has developed. They each have support teams; Mike has a part-time but enthusiastic associate, Oliver and works with his partner, Philippa, who is a hygienist.
For the full piece about using Kolbe Wisdom in small businesses the full article is here.