Shelly Banjo has an excellent story in her Running a Business column in The Wall Street Journal, called Before You Tie the Knot. I’ve likened finding an investor to choosing a spouse previously in this blog, but she goes deeper into partnerships and the like.
Too many people think they know a friend or colleague well enough to start a business together, only to discover they don’t.
She suggests an old-fashioned solution: Do your homework. Work out the details. Consult with professionals. And–one of my personal favorites–get it in writing.
Also, suggestions about how to work out the details of the agreement, what things to consider and how to analyze fit between partners. It’s a very good summary.
Tim Berry is the founder and chairman of Palo Alto Software and Bplans.com. Follow him on Twitter @Timberry.
