Finding the Right Strategic Partnership for your Business
Mike Ihezuo
A primary reason many businesses collapse in Nigeria in their first or second anniversary is because of the burden of doing it alone. Our people are not used to pulling forces together in businesses and projects. People here like solo lifestyle – doing it all alone. In developed clime, people hardly do so. You maybe hearing one person’s name prominently, but it doesn’t mean he/she owns the business alone. There is a co-founder!
I’ve a colleague who proudly would tell you that she hates any work or thing that can be done in a team or group, ie she is a lone ranger. In fact, that statement irritates me anytime she makes that statement in our meetings or conversations. Please I don’t mean there are things that don’t require lone attention.. Doing it alone is a flip side of I can’t work in partnership, and as I said our people detest working in partnership.
*Why People Work Alone*
Their reasons working alone are people disappoint, “I no want trouble”, anyhow I manage am I take it like that”, “I no fit account for persons”, etc.
That’s a bane on someone’s growth, someone who wants to remain a mushroom. Please, note that person is going nowhere! Incidentally, he/she is not building a system… and no one succeeds without building a system – system of leverage; networking, franchising, partnership, collaborations and employment. Yes, you must have a formidable system that can move you with or without you being present in your business venue.
Partnership among others is a key system. Now, my burden is since our people have negative notions, experiences and fears on partnership, how can I, as a consultant help them to beat this fear? So many ways! Let me share only few points here on how to find a right partner (others in my books and live). See, and read me well: you need a business partner even if you don’t have the rest system members – of course, you must have employees as necessary as you can. Permit me to call this partner, a strategic partner.
*Need for Partnership*
1. Growths & Expansion in Market:
A strategic partnership can be an ideal way for progressive you or organizations to work collaboratively and leverage individual strengths, while remaining independent and focused on core competencies. These partnerships can result in expanding your customer base by creating access to new markets and providing new solutions to existing clients.
2. Achieving Energy & Mutual Aspirations:
Strategic partnerships strengthen each business and achieve mutual aspirations faster by leaning on one another’s experience, network and resources.
3. Burden Sharer:
As good as the above two, it doesn’t turn (trip) me on like this: a strategic partners helps you bear burden you couldn’t have borne alone because of fear, procrastination, finance and thinking. The Scripture says in:
Ecclesiastes 4:9 KJV
“Two are better than one; because they have a good reward for their labour”.
and adage says, “two heads are better than one.” That’s the wisdom that you can’t register a limited liability company with Corporate Affairs Commission of Nigeria without having directors ie strategic partnership in owning the business.
4. Competitive Advantage:
A strategic partnership will give you a competitive advantage and allow you to extend a broader range of opportunities. Your partner can offer skillsets and services that differentiate you from your competitors. Your partner can also and is expected to complement your resources, skills, knowledge and experience you’re bringing to the table..
5. Different Perspectives:
Aside of new business opportunities, it can give you another perspective on your company and streamline processes to help augment your resources. You will be working closely together with your new business partner, so it’s important to have a good connection with them.
*Lifetime of a Strategic Partner:*
You can seek for a partner anytime; at start, or a begining of a new business/contract/project, in a phase of work. Same way it can stop at end of deal or continues as long as possible.
*How Can I get a Good Partner?*
Take these few tips.
1. Set Clear Goals:
You must establish clear objectives and goals. You want to make sure all parties know exactly what you do, what you are looking for and what you want out of the partnership. Be down to earth in spelling out your matter on what you want and who can fit in. Please this is relationship you’re going into; don’t rush on excitement of seeing someone who sweet tongue you of prospect of a good partner. .
2.Don’t be vague or you won’t get what you want.
Be blunt, be specific – nothing like I think he/she will know. This allows you to benchmark project success and make sure there will be no surprises on outcomes and needs. This will also make sure everyone is aligned and on the same page with what each of you are looking for.
3. Research the Partner:
You want to determine if the services or products your partner possess, align with your business. It is important to make sure both parties will benefit mutually going into business together. By researching your partner, you can identify where your individual services will complement one another and be mutually beneficial. The most promising tool is using your network of friends, colleagues, associates, family and recommendations to find the right partner you will feel more confident with.
3. You Self, Be Honest:
Being honest and transparent is the easiest way to gain trust with someone. By being honest with this potential partner, you can make sure both parties have a clear concept of what to expect in the potential partnership. Be forthright about your strengths and weaknesses in your business and mention where you can leverage your potential partners services. Your businesses strengths may be your potential partners weakness and vice versa. By divulging both, you can demonstrate the value both parties will bring to the partnership.
3. Communication:
Keeping in contact with your partner is a great way to establish a good relationship and figure out objectives along the way. Maintain weekly/biweekly check-ins to talk through concerns or just to see how things are going. Don’t keep a long gap. This will build trust on both ends and will ensure you deal successfully with issues or changes in processes.
4. Understand your Business:
Don’t be afraid to be honest about your lack of understanding of some business concepts. Otherwise, trying to do something you are not familiar with could lead to costly mistakes. Finding a partner that is knowledgeable about the functions you are struggling with can help enhance your expertise.
5. Write Down Terms of Relationship and Get You And Your Partner Agree & Sign:
This is the most important. I’m organization expert, I teach Business Systems, Acquisition, Merging and Partnership. Each time, I’m mediating, negotiating and talking to a client or on client behalf, I set aside a good time on framing this kind of agreement, getting the parties understand and be ready to be bound by terms of relationship and to sign. Again, never rush starting without management agreement by people like us. Why many Partnership businesses end up in police station and courts is because this is not adhered to.
About Leader Mike Ihezuo
Mike Ihezuo is Consultant who has been helping business leaders succeed and thrive in a volatile, uncertain and choas economic environment. He’s better heard LIVE than advertised. If your team need to hear him live or via ZOOM. Call him: +234-90-5790-1334 or email: leadermikeo@gmail.com / newsdotafrica@gmail.com
08022426520
