Picture yourself working day in day out to build your dream company, with a loyal and trusted friend by your side as your business partner.
Now picture your business partner’s behaviour changing. It starts off small, taking a long lunch, leaving early or coming in late. But then money starts to disappear from the business bank account without explanation.
Whether it happens quickly, or gradually over time, once the trust and confidence is gone, the relationship will inevitably break down, and for the good of the company, and any employees, parting ways is the only choice.
Rumour has it that breaking ties with a business partner can be just as emotionally draining and stressful as a divorce, and often friends who go into business together will no form of partnership agreement, and no exit plan.
Winding up the company and starting over is not the only answer, and a split does not always have to be bitter.
Appropriate dispute resolution and negotiation is an effective way to hash out all the grievances between the parties, as well as resolving disputes before they reach a court room. This approach not only saves the business money, but it can save the business from being would up.
If the matter does continue to escalate, and litigation is necessary, then it is important to know your rights, and to have experienced advocates guiding you through the process to ensure that you don’t need to lose your company, and if you do exit then you receive your adequate compensation for doing so, and ensure that your future rights are protected.
If you are having difficulties with a business partner, or you are simply heading in different directions, and want to know the first steps to parting ways, contact the team at Scanlan Carroll to discuss the first steps, and be sure that you will receive the expert assistance and advice that you need through the process from start to finish.
Please contact Amanda Harrington on (03) 9853 0311 or email at Amanda@scanlancarroll.com.au for more information.