A partnership is a popular type of business structure. You may have considered this structure your best bet because you had another person who helped you create your company, whether through ideas or other investments. As a result, your business has grown over the years.
Now, however, you face problems with your partner that have you worried about the future of your company. Unfortunately, individuals do start seeing certain aspects of business operations differently as time goes on. You may want to take more risks and your partner wants to continue to play it safe, or vice versa. Whatever the problems may be, it is wise to address them as needed before the company suffers too drastically.
Have a discussion
An important part of any dispute resolution process is talking about the issues at hand. You likely want the opportunity to discuss your views on the matter with your business partner to determine whether he or she may come around to your way of thinking. Of course, you need to remember that your partner likely also wants this same courtesy, and entering into the discussion with open minds may work in the best interests of all parties involved.
On the other hand, you may have tried to start conversations with your partner before, only for the discussions to turn into further arguments. If so, you may want to consider bringing in a third party to help keep the conversation on track.
Determine your options
If the discussion continues to not heed the desired outcomes, you may want to determine your legal options for handling such matters. You may find it helpful to review the partnership agreement and any clauses therein that discuss exit strategies, handling partnership disputes or dissolving the partnership. You could also consider it in your best interests to find out if you have any legal leverage that could help you push the situation more in your favor.
You may find that you do not need the information you gain because a sudden turn of events could have your business partner and you seeing closer to the same level. Still, having this information within arm’s reach may prove useful.
Following the best path
If you do find that you need to implement changes to the partnership agreement or to dissolve the partnership entirely, it is wise to prepare for that scenario before bringing it up to your partner. Having this type of information beforehand could allow you to feel prepared and also have an idea in mind of how you want the entire situation handled. Working with a knowledgeable California attorney could help you as you address this dispute.