Business partnerships: what really matters before you start

Many partnerships start out of excitement, personal trust, and a feeling that "we don't need this in writing." A year or two in, those same partners come to us with the same question: how did we get here?

What to settle before you start

1. Real responsibility split - not just ownership percentages, but who decides what.
2. Exit mechanism - what happens if one partner wants out, and how is value calculated on that day.
3. Future investment - who is committed to keep injecting capital, and on what terms.
4. Material decisions - which decisions require joint approval and which don't.

Why it matters even when trust is high

A good partner agreement isn't built for the world where we fight. It's built precisely so we never get there.

The earlier things are structured - without the pressure of a crisis - the higher the chance the partnership will hold up over time.