Posts

Proven Business Relationship Agreement – Part 3

Proven Business Agreements

Proven Business Relationship Agreement

6 More Key Questions – Part 3

By DC Cordova

Will this really help you make more money, be happier and have more fulfillment? If you’ve ever been in a relationship before – whether business or personal – you know how to have a good relationship. Very few know how to have a great relationship.

Anthony Robbins, the world-renowned success teacher and Money & You® graduate, says it best. Your success is determined by the quality of the questions you ask. If you’ve read my previous two posts on creating a profitable business agreement (read the first Post here: Proven Business Relationship Agreement – Part 1 and the second Post here: Proven Business Relationship Agreement – Part 2), you’ll quickly realize that I outlined a series of questions for you to ask yourself and to ask your potential business partner(s).

Now we’re getting even more detailed and focused on some specifics. I find many people don’t want to deal with these. And I would ask you to take a look and see if you really applied these questions to your relationships in business, would you have more clarity? Would your planning change? What I’ve seen over the last 30 plus years is that what it takes to be an entrepreneur – not just an entrepreneur, but a successful builder of businesses that grow and thrive – is these questions are inherently a part of the way of thinking or planning.

If these posts make you think, GREAT! I’m having an impact on you. Now we’re going to take a look at the next 6 Key Questions you need to ask yourself in creating a success business relationship…

10. Know your partner

___ We have discussed and know if there are…

___ Habits they currently have and have had in the past that we might want to know about.

___ Complaints and “stories” from their past

___ Any bankruptcies and/or negative business dealings?

___ What they learned from those experiences?

___ Which ones were they able to correct?

___ If they blamed another person?

___ Were they able to take responsibility for it?

11. Personal responsibility and integrity

___ We know that personal responsibility and integrity underlies all successful partnerships and organizations. When these two distinctions are equally important to each member, everyone knows they are personally responsible for what is happening in their own lives.

___We agree not to blame and take full responsibility for our part when things don’t go the way “they are supposed to”…

___ We know going into this agreement that when we hear repeated blaming of others or constant justification of self, then we can pretty well predict the future.

12. When Money is Involved – The GREED Factor

___ We understand that a business relationship is similar to a marriage and we both are hoping that all is going to work out great. We know that it can actually get more intense when large amounts of money are made and that it can bring up negative and limiting subconscious beliefs about money, success and prosperity.

___ On the other hand, for some, the more money they make, the more the greed factor comes into play and our styles could change;  if we have blocks to having lots of money we get greedy.

___ To prevent the effects of any of these changes, we have written agreements in place and are constantly in communication with each other, because we know that maintaining alignment is essential.

___ We have met with our Professional Accountant or successful Tax Lawyer who has given us advice as to what to do with future profits.

___ What percentage of it to be reinvested in the business?

___ How much to be saved?

___ How much each of us should be taking out as profit?

___ We have met and decided in advance how the profits will be disbursed in the short and long term.

___ We agree to re-visit this and update it every six months.

13. Making Long Term Decisions

___ We see ourselves working with each other at least five, ten, twenty years from now, but if not, we have put together an “exit” agreement as well as another agreement for the possible sale of the share of the business to the other partner.

14. More than two partners

___ If there are going to be more than two partners, if any one of us is hesitant to do something, we agree to honor that person because we don’t have total alignment.

___ If this doesn’t work we agree to get the advice of a third party we all trust.

15. Personal Decisions

___ We have discussed that if one of the partners decides to get married (or divorced) what will happen with the spouse in terms of the business.

___ If one of us decides to have a child, we have discussed how it is going to affect our participation?

___ We know what each partner is personally committed to and what the business represents for them.

Wow! I actually enjoy writing these because I know this is what works. Now, ask yourself: Do these questions make sense? If I’m going to create a business with another partner, does it make sense to know the answers to these questions? Ask yourself, what if I didn’t know the answers and wasn’t prepared? Could I lose my interest in the business?

So, I’d like to have some of your feedbackWe still have 5 more Keys to creating a Successful Business Agreement – and I’d like to know your thoughts. What has worked for you in business? What has caused upsets?

I look forward to sharing the next and final segment with you. Until then, I challenge you to take these questionnaires, print them out and actually go through the checklists.

And I’d like to give you a gift: Your Personal Entrepreneurial Strategy

With loving thoughts,

DC Cordova


Creative Commons License photo credit: Tracy O

Proven Business Relationship Agreement–Part 2

Secretary Clinton and Romanian Foreign Minister Sign Agreements

Proven Business Relationship Agreement

Part 2

By DC Cordova

In my first post of this series “Proven Business Relationship Agreement”, I discussed and listed the key points to beginning to work in business with partners. The first steps of the Proven Business Relationship Agreement can be read here. You need to be willing to make your partner happy – much like in a personal relationship like a friend or marriage. Next, I want you to create joint ventures first to allow you to learn how you work together. One of the distinctions we cover in my program Money & You® is how you establish trust – you make small agreements. And keep them! This is exactly what a legal contract is… a series of small agreements.

The reason why Money & You® is so powerful is the way it is taught. Most people have experienced learning and education to lectures and notes. For many, this can be extremely tedious, frustrating and boring. We “excellerate” your learning in an experiential environment; it is proven that students learn faster (accelerated) when the medium is auditory, visual and kinesthetic. Meaning they not only hear and see the information but they also experience it.

In this article, you’ll learn the next seven points to creating your Proven Business Relationship Agreement. This series is all about clarity – clarity on purpose, clear rules, clear goals, clear money habits, clear financial habits, clear communication, and clear job descriptions.

If you like what you are reading, please share your thoughts in the comments section below. And to continue from the last post, here’s steps three through nine (3 – 9):

3. Get clear on your purpose

___ We have fully discussed why we are choosing to be together and want to do this particular venture or business.

___ We both know how each other feels about it and have stated out loud why we want this partnership — whether it is:

___ just to make money

___ to learn a new business or skill

___ to learn from our partner

___ because one is providing the funds and we need that money or we won’t be able to do that business.

___ because one is providing the expertise that, without which, we would not have a business.

___ We agree not to keep any secrets from each other. (We know they will come out in the light sooner or later, and later could be detrimental to the trust in the partnership as well as to both of our financial well being.

4. Establish the “Rules of the Game”

___ We are both believers in creating “Rules of the Game” – or policies for our partnership.

___ We have compared our values and found that we are not on opposite ends of the spectrum in what we believe.

___ We know that one of the “Rules of the Game” is to focus on what works.” In other words, each of us has to “get off” our position when something we are doing clearly is not working. Put simply, if there is something not working in the partnership or in the business, we agree to look at it and correct it.

5. Get clear on goals

We have thought about the following and each of us has answered…

___ What are the goals for the business relationship?

___ Why have you chosen to do business together?

___ To learn?

___ To network?

___ To team up with someone that has attributes that you don’t have?

___ What are our financial goals?

___ How much money we want to make together.

___ If we want to sell the business after a certain period of time?

___ If we want to have financial independence out of the business?

___ If we think combining your strengths will give you an advantage over what you could do alone?

___ If it is to take advantage of our differing styles?

6. Where is the money coming from? and who is going to manage the money? We have discussed what Money Habits will be important to each of us and know…

___ Where the money is coming from to capitalize the business.

___ What “learning experiences” each of us has had around money.

7. Financial habits

___ We have looked into my own and my partner’s habits to see…

___If they are similar

___ If each of us save, tithe and invest part of their profits?

___ If we can be confident that we are being mutually responsible and taking care of our selves financially?

___ If we can be confident that the other will not put pressure on the company later to handle any financial obligations they may not be able to meet.

8. Get clear on your lines of communication – We have discussed and know…

___ How frequently are we going to communicate?

___ How are we going to work together?

___ Are we both in the office?

___ Is one on the road and the other “home” in the office?

9. Who is going to do what?

___ What are the clear job descriptions of each partner?

___ Who is responsible for what?

___ Are your personalities complementary? Or is one better at one job than the other?

As you’ll learn, being on the same page, or in alignment, is absolutely essential to create synergy and the results you want in your business. Again, if you missed the first post or just want a refresher, read here my first post in this series of creating a Business Relationship Agreement.

I’d love to hear your comments, I do read them, and I look forward to providing value to your business, your family, your personal relationships and in creating the life of your dreams.

With loving thoughts,

DC Cordova

Creative Commons License photo credit: U.S. Department of State

Proven Business Relationship Agreement – Part 1

n38795229125_6964


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!

© Money & You® 2006 – 2009