10 Important Questions To Ask A Potential Business Partner

Laptop on desk horizontal business businesses company companies corporate corporation corporations bureau bureaus executive executives manager managers management professional profession professions career careers educated occupation occupations vocation vocations job jobs work working success successful succeed succeeding ambition ambitious image images salary salaried advancement advancements overtime leader leaders leadership office offices ethic ethics suit and tie white collar merger mergers at and the of it is a Laptop laptops lap top tops PC PCs desktop desktops notebook notebooks personal portable mobile mobility computer computers computing browser browsers browsing network networks networking hard wire hardwire hardwired wired wireless key keys keyboard blue chip data entry e screen screens LCD screen monitor monitors get getting gather gathering send sending receive receiving info information knowledge look looking on web site sites website websites internet net dexterity technology technological advance advances advancement advancements business phone phones telephone telephones portable connect connects connection connected connecting connectivity conversation conversations communicate communicates communication communications communicating telecommunication telecommunications solution solutions send sends sending receive receives receiving info information keep keeping get getting stay staying in touch technology technological advance advances advancement advancements call calling calls sit sitting on set setting desk desks lamp lamps shade shades object objects mirror mirrors hotel hotels motel motels tour tourism tourist travel traveling travelling travels vacation vacations vacationing destination destinations trip trips getaway journey journeys holiday holidays island islands cruise cruises tropic tropics tropical exotic paradise excursion excursions outing outings flexible flexibility available availability hotel hotels motel motels accomodations
How to Write a Business Plan | Examples, Templates, Tools
image source: review42.com
Getting to know your business partner, their skills and intentions is key to a successful future partnership. You should look for someone with similar goals, strengths and weaknesses that compliment your own and a strong vision for the future. Here are some questions to get you started which you should expand upon during discussions to find out whether this person is a good fit for a partnership.

1. What are you hoping to get out of our partnership?

This is a great first question to ask to help gauge their expectations. Listen to their goals and analyse whether they align with your own. If your visions for the company are completely different then you are likely to face issues further down the line. Consider both their personal goals as well as their hopes for the business.
Note: You can also Submit Guest Post for Investment at A Class Blogs.

2. What is your financial situation at the minute?

Knowing about your potential partner’s financial situation is another important element of this discussion. If someone can’t adequately manage their own finances, this suggests that they lack the discipline to properly manage money in general, which could be detrimental for a business.
Make sure that they are comfortable financially and in a strong position to invest money into the business. A confident answer is what you are looking for. 

3. Can you give evidence of relevant experience that you will bring to this role?

For someone to add something to your business, they must have relevant experience in a similar field. Here you will be looking for essential skills like strong management style, empathy, creativity and strategic thinking, alongside examples to prove it.
You also want to know if they have experience in scaling businesses or saving money, for example reducing costs at lease review or identifying great value at commercial property auctions. This is a good time to analyse whether this person will really be contributing something great to the company.

4. What approach do you take in a crisis?

It is important to know how this person would react in difficult situations. Someone whose answer suggests they immediately go on the offensive is not a good sign.
You should look for someone who thinks about the issue and finds out the facts, comes up with a plan, acts as a strong leader with the support of trusted employees and implements their plan whilst remaining flexible to further change. Taking a rational approach is far better than quickly reacting without knowing all the information.

5. Where would you hope to see the business in 5 years?

Similarly to the first question, this one is all about discovering if this person has a similar vision to your own. Here you should look for a serious and achievable response.
If someone says ‘I want to make this the biggest brand in the world’ when you are a start up, you know this person probably isn’t a realist. Of course you want someone who is ambitious, but a measured response backed up with some interesting insights is much better than someone simply saying they want it to do really well.

6. How do you feel about risk-taking?

There are multiple ways you can take this question. If you are a risk taker yourself, perhaps it would be good for someone who is less inclined to take a risk to create a healthy balance and sense of perspective.
Alternatively, you might find it frustrating to have someone question your instincts, so this will all depend on the type of person you are. Listen to what they have to say and assess whether you think your styles could compliment eachother or whether they will clash.

7. How do you measure success?

Success can be measured in many different ways, so there isn’t necessarily a right answer here. Instead, what you should be looking for is someone who is always striving for success, as in a business, there is going to be room for growth.
Rather than seeing success as hitting a particular target or sales number, your business partner should look to set regular goals and always try to go above and beyond them.

8. What are your strengths and weaknesses?

A great benefit of having a partner is that you can both bring different strengths to the table and balance out each other’s weaknesses. You should look for someone who brings something to the table that you lack, as if you both have the same weaknesses, an area of your business will be weak. Also, bare in mind that someone with strengths that you don’t possess could take your business to another level.

9. How much time are you looking to invest in the business?

Most businesses require a significant investment of time, especially when they are new, so your expectations about how much time each of you will spend should be laid out early on.
If one person is investing significantly more time into the business then issues are likely to arise if this isn’t initially discussed. Find out if they have other commitments and realistically how many hours a week they are able to commit to. This will then be reflected in the discussion of the next question.

10. What expectations do you have in terms of the division of profits?

Something you should find out towards the start of the process is your business partner’s expectations when it comes to shares in the business. You should tell them the current split between shareholders and then ask them this question.
It is up to you to weigh up their request in relation to how much they have invested financially, how much time they will be investing and also which skills they will be bringing to the business. If their expectations are unrealistic, then that must be discussed, as disagreements in this area are hard to rectify further down the line.

Leave a Reply

Your email address will not be published.

powered by Web Sol PAK