The stories are endless….the best of intentions ending in disaster — reputations ruined, revenue lost and friendships destroyed.
Joint ventures are too often viewed as casual projects and the partners doing them jump in without realizing what’s at stake. Even in a small limited project done jointly, when it fails, the loss can be devastating.
Many entrepreneurs and particularly coaches, who also encourage their clients to do them, enter into Joint Ventures with the best of intentions of creating a win/win endeavor. Yet the stories abound about failures, destroyed relationships, damaged self-esteem, confusion about “how did this happen?” They vow never to try one again. In most cases, these unhappy scenarios could have been avoided.
Too often these ventures are not seen as a business, but rather as a project that is entered into too casually.
Because Joint Venturing is a good tool to expand one’s presence on the internet or in a particular business arena, the owners seek someone with a product or service that complements their own. They may be well known to each other by reputation and on that basis approach each other with an idea that seems could benefit both of them as well as their respective clients.
Typically the JV partners focus on the more tangible things such as:
- How will this project be launched?
- Whose business will be responsible for the marketing material?
- How will monies be collected and distributed?
These functions require people and technology. In most cases, only some of this is discussed and much is taken for granted or assumed.
Unfortunately, a key component of the JV partnership, the personal aspect, is often ignored.
- Do you have shared values?
- Are your work styles complementary?
- Do you share the same goals for the project?
- Can you both be counted on to do what you said you would?
- Will you remain accessible to each other?
Like any successful collaboration or partnership, a successful Joint Venture is the result of an on-going conversation between the partners..