Choices

I'm frequently called to work with business owners on matters pertaining to the selection of business partners and negotiating terms with them.


I had an interesting conversation recently with two practice owners. Both were considering potential business partners for their respective practices. Neither had fully considered the criteria for what would make a good, or even acceptable business partner.


Of course we discussed core issues of compatibility - purpose, vision, values, culture, communications, etc. Then there were matters of work style, skill sets, risk taking, decision making, commitment, loyalty, entrepreneurism, motivation, and persistence. There were also matters of what value prospective partners would bring to the practice - strategic, relational, and financial.


After some conversation it was apparent that neither of them were considering viable partners.
Both had been just days away from making what certainly would have proven to be very bad decisions.


Due diligence is crucial, as is the intuition that comes only with experience in such matters. Like marriage, the "divorce" rate among partners is high - very high. None last forever, but some are predictably dead right out of the starting gates.


One can not afford to allow the selection of partners to be a casual or sentimental process.


Partner considerations make employee hire selections appear insignificant by comparison. Partners bring with them either the seeds for success or failure. Those seeds are planted the moment the partnership is executed. Too often the seeds are those of weeds.


Proceed cautiously. Work diligently. Choose wisely!


Bob


(c) Copyright 2009
Performance Builders