A Trusted, Professional Litigation Law Firm With Decades Of Experience

When a business dispute ends a partnership, lessons follow

On Behalf of | Dec 10, 2012 | Business Litigation |

Anyone who has jumped feet first into the uncertain world of business knows firsthand that hindsight is 20/20. Lessons are learned with every success, and it can be argued that even more is learned from failures, both big and small. A recent story outlines the most valuable lessons learned from the loss of a business partner. When a business dispute or other misalignment ends a Florida partnership, future success can emerge from the wisdom that comes on the heels of that loss.

One of the first things to remember after a partnership dissolves is to keep an eye on the cash flow of your enterprise. Future growth or recovery requires the ability to cover present expenses, and keeping a close watch over the financials is especially important during a time of change. In addition, it is also important to become comfortable with making quick decisions. While no choices should be made on impulse or without proper consideration, spending too long agonizing over every potential outcome can cause more harm than good.

Another great tip, and one that can save a great deal of stress and scrambling, is having a back-up plan in place before one is required. This applies not only to plans for business operations, but also to physical back-up. Important records, client files, financials and other data should all be stored in a back-up location, be it physical or electronic.

These tips may seem simple, but many Florida business ventures move from concept to operational without putting enough thought into how things would operate if a business partner withdraws from the project. By taking the time to work out a thorough back-up plan, partners will be better equipped to handle an abrupt shift in cases in which a business dispute leads to a change in leadership. In the best case scenario, such measures will never need to be implemented.

Source: Forbes, “Founder Divorce: Nine Lessons From When My Business Partner Jumped Ship,” J.J. Colao, Dec. 5, 2012

Archives

Categories