If you are in a partnership for a business in Illinois, more than likely you are not always going to see eye to eye. There are certain disputes that many partners face over the course of sharing a business, and if you handle them in the right way you can move past them smoothly with no long-term consequences.
According to Business News Daily, there are three main common disputes that most business partners may have. One revolves around the company’s operation, and a common complaint is that one partner is not working his or her fair share. Another prevalent dispute is over money, such as whether one partner spends more than the other, one does not get permission for a specific purchase or there is an inflation of expenses. If partners start a company based on one of the partner’s intellectual property, there may be a dispute if the partner does not document ownership of this IP.
According to the Chron, being able to communicate well with your partner can oftentimes clear up disputes without outside intervention. This typically includes a bit of compromise and negotiation from each partner to come up with a mutual conclusion. In situations in which partners have difficulty coming to an agreement, mediation is a reasonable next step. A mediator has the skills to help both partners work out their differences in order to keep the business running.
In serious cases, the only way partners may be able to handle a dispute is through the courts. One way to avoid this is to write up a management agreement when starting the company. This agreement can outline how to deal with disputes, such as mediation or giving one partner decision-making power. It can also set a price at which one partner can buy out the other one in cases where they cannot resolve an issue.