Deciding whether or not to partner with someone for your condo conversions is a very personal decision. While many investors prefer to go it alone, others would never dream of starting anything so big without the security of a partner. Like many things in life, it may require a little trial and error before you either find the right fit or decide to go it on your own. Should you opt for business partner, here are some things to consider:
Each partner brings a different perspective to the project. This can increase the creative flow and give a real boost to the problem solving process.
Having a partner can often help reduce the stress levels of a big undertaking. Just by having someone to share the issues with can make them seem less daunting
Oftentimes financing is made easier by having a partner since banks see more than one source of collateral.
Different ways of doing things, different ways of approaching issues, and different ways of dealing with others can sometimes lead to confrontations.
Decision making can be difficult when different people have different expectations or goals for the project.
Partnering with someone in business who has been, or is, a friend on a personal level can sometimes damage a good friendship.
If you decide to go ahead and partner up with someone for your condo conversion projects, here are some more things to remember:
This is a business relationship, so treat it as such. Go together to your attorney and complete all the required legal aspects of the company.
Be sure the person or persons with whom you are partnering can bring value to the project. Make certain they have experience, knowledge or skills that are necessary and valuable.
Take care to find a partner who shares your enthusiasm, goals and work ethics. A partnership will not last long if one person feels they are doing all the work. A situation where one partner wants to work 16 hour days while the other wants to work 6 is not going to work out well. And having a partner who conducts business activities in a way that seems unethical or embarrassing is not going to instil confidence in the company with others.
Make certain your partner is someone you can communicate with openly and honestly. You will need to stay in touch on all matters of the business even as you are each attending to different things. Communication that is clear and concise, therefore becomes essential.
In business, it is extremely important to understand your own weaknesses and strengths. When you know these, you can look for a partner who truly compliments you. Find someone who excels in the areas where you are weak and you’ll have a partner who can truly help you and your business to grow.
And most important of all, keep a watchful eye on the relationship, and address issues as soon as they emerge. It is far better to decide to cut the ties if things aren’t going well than to let things fester until resentments form and anger builds.