Should You Start A Business With Friends? Dos And Don’ts Tips To Consider
It can be tempting to start a business with your friends, especially if you’re all excited and business-minded. And yes, there have been many success stories of friends-turned-business partners. For instance, the founders of Siomai King are childhood friends who built a successful business company. However, there are also many ‘horror’ stories of friendships that turned sour because of business.
So, should you risk your friendship for business? Here are some tips to keep in mind for a successful partnership.
1. Draw the line
Learn to draw the line between business and friendship. This involves learning to say “no” to some ideas and setting the boundaries of your roles. That’s why it’s very important to set your roles and responsibilities early on. Make sure you and your friend know who is responsible for making decisions on which aspects of the business.
2. Share the same vision
How committed are you to the business? This is very important to establish as you plan and create your business roles. Sometimes, conflicts start when one person is not putting in as much effort as the other. Look to see if your business goals, motivation, and vision are the same. Put your goals and commitments in writing, so you’ll be reminded of the commitment you decided to put into the business.
3. Separate business from friendship
This is actually easier said than done. The fact that you’re friends means you’re more casual and comfortable with each other. However, it’s still important to check and balance, seek accountability, and ask for results from each other. When you have the same goals, you’ll learn how important it is to check on each other’s work and roles. This way, solutions can be discussed.
4. Do communicate often
Now that you’re not just friends but business partners, you should learn to separate the casual chit-chat from the “hard talk” when it comes to business. Learn to be open to suggestions, especially if you know that your partner’s skillset is within the scope of the problem. Communicating often also builds trust, which is very important in business partnerships. It means trusting that your partner can handle their tasks and responsibilities.
5. Be honest
As friends, we tend to be very open with our personal lives, and other casual things. In business, you also have to learn to be honest. If the role is not your expertise, learn to admit it. If you’re having trouble with your responsibilities, be honest and admit it. As friends, we tend to assume about each other’s feelings, opinions, and plans. This could spell disaster for any business and could easily lead to conflict. So express yourself and be honest with how you’re handling the business.
These are just some tips to keep in mind. In the end, starting a business with a friend can be risky but also exciting. Good luck!