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Proven Business Relationship Agreement – Part 4

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Proven Business Relationship Agreement

Last 5 Agreements – Part 4

DC Cordova

You made it! Here are the final five business relationship agreements in the 4 Part Series (twenty total business agreements) for creating profitable partnerships. You can read Proven Business Relationship Agreement – Part 1 if you haven’t already done so to get you started right. Proven Business Relationship Agreement – Part 3 was my last post and I’m glad to receive e-mails from some of you with the distinctions you’ve learned. Keep the feedback coming. I like to know what is working for you.

Here’s agreements 16 – 20 for your complete Business Relationship Agreement to use in your current and future partnerships! Enjoy…

16. Prepare for the worst – expect the best

___ We have talked about the worst thing that could happen in the business relationship.

___ We have a plan for a buy-out (exit) clause, or a clause on how to handle the dissolution of the business, including who keeps the rights to the idea of the business and how the assets are divided?

___ We have thought of every possible scenario including how to define “successful performance” and how to quantify or measure the results we expect. (We know that not doing this could cost us not only the partnership but also the business!)

___ We have made contingency plans that will keep our business operating, should unforeseen events in either partner’s life come up.

17. Ethics

___We have an agreement that covers any contingency should one of the partners become involved in any immoral or illegal activity.

___We agree that if so, they automatically default their partnership to the other person.

18. Legal Advice

___ We have identified a conflict resolution-oriented attorney to review our agreements and discuss it as a group.

___ We have included arbitration clauses, so that any disagreement does not have to end up in court.

___ We have agreed to work toward a resolution, rather than get involved in a lawsuit.

___ We have worked through and made clear agreements and have created our own version of the Rules of the Game to apply to the business partnership.

19. Financial Advice

___ We agree to meet at least annually to review our business with a professional tax accountant.

___ We will look into our best plan for wills, living trusts, and estate planning.

20. CELEBRATE! –

___ And finally, we will celebrate our wins together – little ones and big ones on a regular basis. We know that one of the values of having partners is that we have someone with whom to celebrate our wins! And we look forward to having our business become more and more profitable so that our biggest problems become figuring out how to handle and leverage our money!

Signed this date: ___________________________

____________________________
Partner

____________________________
Partner

You can print these agreements and DO USE THEM! I want you to have fulfilling, profitable and fun businesses that make a difference in the world. As another tool to use in growing your business, make sure you pick up Your Personal Entrepreneurial Strategy – and continue your journey of success.

With loving thoughts,

DC Cordova
CEO, Excellerated Business Schools® and the Money & You® Program

Creative Commons License photo credit: B Rosen

Proven Business Relationship Agreement – Part 1

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Proven Business Relationship Agreement – Part 1

By DC Cordova

In this series of posts, I’m going to share with you what has worked for me in business for the last 30 years. I currently have business agreements with partners in China, Singapore, Malaysia, Australia and the United States. I’ve done business with well-known authors, speakers, artists, producers, film-makers, promoters, government ministries, large and small organizations – you name it. What I tell my clients is if you prepare for your business relationships, your partnerships, like you do marriage, then I can guarantee you a significantly higher success rate. This article contains steps 1 and 2 to creating a successful business relationship. Follow along, put it into practice and enjoy the fruits of clarity.

As all human beings have feelings, opinions, beliefs and emotions that can and do affect us in different ways in the various circumstances that make up our lives, I, _____________________ and I, _____________________ agree that as of this date: _______________________, we have read the chapter in What School Should have Taught You about Money & You and have fully discussed and hereby declare that we have discussed and are now fully aware of the following…

1. Be willing to make your partner happy

___ We have asked and told each other what makes each of us happy in business and personally.

___ We know what we can do to bother them and get the upset.

___ We are willing and committed to hear each other out – repeating the  other’s point of view before expressing our own opinion.

___ We are willing to have things go “their way” at times

___ We will consciously and clearly “agree to agree” or “agree to disagree” when necessary.

___ We will “share” in the way the business is run and agree to how that might look like.

2. Create joint ventures first before creating your business partnership.

___ We will go (or have not gone) into our partnership until we have worked on a few projects under “joint-venture” basis first.

___ We realize that this partnership/business venture is more like a marriage than anything is, and we will get to know each other like we would in a courtship.

___ I am willing to commit to my partner, as well as the business…

___ for a very long time.

___ through thick and through thin

___ to talk together and meet on a regular basis to evaluate how it is going

___ to call in a third party to facilitate when we don’t see eye to eye and cannot resolve a conflict within 45 minutes.

___ to get to know each other first for at least ___ months or ___ years.

___ We will spend plenty of time together before moving on to larger commitments.

___ To see each other working under a variety of situations, both when things are going well and when they aren’t.

___ To see each other when we are under pressure.

___ To spend time traveling together.

___ To get involved in activities together that will allow us to see how my potential partner(s) react under different situations.

___ To interview their old friends and ex-partners.

___ To attend several different types of seminars together, including intensive, long-term personal growth as well as business programs.

___ To learn how best to communicate with each other.

___ To work with a professional team builder and business coach to help us review or develop our business practices.

___ To develop a “language” we can use together.

___ To meet as soon as possible after each project we do together to review it, confirm what worked, list what didn’t work, and commit to the change that each “learning experience” indicated is needed.

___ To correct my systems (or attitudes) and learn from them.

This may sound like a lot to agree on – and if you really read this, you do this in regular relationships before fully committing in a marriage. I encourage you to approach your business partnerships like a marriage because you are legally agreeing to be in partnership. And sometimes dissolving a business can be more destructive and time-consuming than divorce. So be prepared.

And as my old partner used to say, “If someone will cheat in their marriage, what would stop them from cheating in business?”

In my next post I’ll share Steps 3 -9 in Proven Business Relationship Agreement – Part 2 …from “Get clear on your purpose” to “Who is going to do what?”

With loving thoughts,

DC Cordova

P.S. – Get Your Personal Entrepreneurial Strategy and take your business to the next level!

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