Starting your business was simultaneously exciting and nerve-wracking. At the time, you were thankful to have a partner by your side to help you focus on the business and to share the responsibilities.
Often, what starts as an equal partnership can change over the course of a joint venture. There are many reasons the weight of responsibility changes, but eventually, it becomes time to alter your partnership agreement.
Here’s what you should know about changing your partnership agreement to reflect your responsibility accurately.
Has the balance changed?
Depending on the relationship you have with your partner, it can be difficult to ask for more effort when the daily needs of the business change. Often, when partners are friends, you may know the personal challenges they have and do not want to add to the stress in their life.
In other cases, the novelty of starting a new business wears off for one partner, and they no longer share the same commitment. As their commitment wavers, so does the amount of effort they are willing to put in.
Have an honest conversation
When you are in an unbalanced partnership, it is easy to get resentful. While you are carrying the burdens of the business, it can seem like your partner is reaping all the benefits without the same level of effort.
Talk to your partner about the change in responsibility and what you see happening. Ask honest questions about their level of commitment to the company and what they see for their future with the business.
You should also take the time to explain your perspective. Your partner may not realize the amount of time and effort you have been putting into your company’s everyday success.
Time to make a change
When a partnership begins to feel unbalanced, it may be time to talk about changing your ownership percentages. Changing your partnership percentages does not mean you need to dissolve the partnership; it simply means you are making the agreement reflect your current level of commitment to the business.