There can be a delicate balance between your personal, social life and your professional world. Sometimes people choose to combine these two worlds by going in to business with a close friend. There are horror stories of friendships being ruined by a bad business venture. But if you can be smart about the friends you choose to do your dealings with, you should have little to no problems at all.
The best thing about working with a childhood friend is that they know you as well as you know yourself. They can tell when you’re truly angry about something and when you’re just blowing off steam. They can also tell when you’re pushing your limits or taking on too much and if you aren’t reaching your full potential.
Another benefit of working with a close childhood friend is that you already know that the chemistry is there. Yes, you do run the potential risk of ruining the friendship. However, keep in mind that if you’ve already been friends for this long, chances are that you’ve had rough patches in the past. A business deal gone south hopefully wouldn’t be enough to end your relationship.
Social Butterfly Buddy
Though starting a business with a party animal is probably not the best move, teaming up with a socially savvy friend can be a great boon to your company.
This person knows the importance of networking and probably has a connection to all sorts of associations. Not only will this help when you’re trying to start up, but it is going to benefit you if you get into any jams along the way.
You know that friend who always has the tools you need to fix your roof or who you can call to come jump your car? That is a friend who will make a great business partner. You know that this person won’t bail on you and your business at the first signs of trouble.
The risk of going into business with any of your friends comes when you fear that the business will get in the way of your friendship. Ideally, with the reliable pal you would have less trouble. As long as you can be reliable in return, the two of you can always live up to your responsibilities and commitments to get everything done and work efficiently.
Artistic and Creative Companion
You and your creative friend may not always see eye to eye. In a business setting, this could be a challenge but you could also work it to your advantage. Although you can sometimes have creative differences, their unique perspective will bring greater diversity and opportunities to your business.
A word of caution for working with your artistic friend: you don’t want to exclude your friend from being part of bigger, more official decisions just because they take care of the creative end of things. Make sure that you both understand exactly what the other person does so you can remain involved and know that you are both pulling your own weight.
Financially Savvy Friend
This friend is responsible and knows how to handle money. They have never declared bankruptcy and have never needed to so much as think about seeking out debt counselling. You can rest assured that this friend will never lead you into a bad financial situation, but if they do you know that they will do everything possible to get you out of it.
So long as you truly trust this friend, you will also be comfortable trusting them with your money and making sure that you are sharing the profits of your business ventures fairly.
Although it can seem risky to enter a business deal with a friend, it can actually work to your advantage so long as you choose the right friend. Most importantly, remember that trust between the two of you is essential. Work together to make sure that your business is heading in a direction you both like and neither your business nor your friendship should have reason to struggle.
Theo Schmidt has an interest in computer science and engineering, and he uses that interest to fuel his blogging. He also enjoys spending time in the outdoors, and he is passionate about protecting the environment. Theo hopes to help business avoid the need to declare bankruptcy, but for those that do there’s help with Abahkan & Associates.