Given
that our theme for May is entrepreneurship, we thought it would be important to
discuss partnerships, which can be essential to those looking to start their
own business. There are several advantages for entrepreneurs in forming a
partnership – shared expenses, greater success through combined skill sets, and
having someone to forge ahead with a commonly shared value or goal are just a
few. While there are countless reasons to consider inviting someone to join your
venture, identifying the right business partner can be a decision that will
make or break your company.
As
we’ve mentioned in previous posts, Fogel Neale was built on a strong
partnership. Below are a few ideas, which aided in our success, for
entrepreneurs who are looking to find the perfect individual to assist in the
growth of the business.
First
of all, it is important for both partners to share a common vision. If one person envisions the business becoming
a giant enterprise to be run by generations in years to come and the other
hopes to sell the business within ten years, the venture will fold sooner
rather than later. It is imperative that all who are involved set clear goals -
aspirations that are agreed upon by each partner.
A
second component that should be embraced in any partnership is communication.
When considering a potential candidate for partnership, one should question
whether or not there is an open line of communication. It may seem obvious that
partners should be able to be up-front with one another, but when assets, hard
work, and personal investments are involved, trust and transparency are key.
Regularly scheduled meetings should be a priority for partners to discuss
business operations, issues impacting profitability, concerns regarding the
roles of each partner, etc.
An
additional component that is essential to a partnership is role definition. I
think we can all agree that any successful partnership exists when the unique
characteristics of each person involved complement each other. When joined
together, the individuals form a stronger, more complete entity. While this
joined partnership creates a solid foundation, it is important for each role to
be clearly defined. In other words, it would not be beneficial to the business
if the detail-oriented partner – in charge of running the day-to-day
administrative duties – is spending time trying to form a creative marketing
campaign. The main purpose of a partnership is to bring together people who
have differing strengths so that all business needs are met.
When
I decided to put my entrepreneurial skills to work and take on the endeavor
that is now Fogel Neale Partners, I started with a natural type of partnership
– family. My nephew and I saw the need for a wealth management firm that could
provide white-glove service to clients investing a moderate amount of assets,
less than the amount required at large, white shoe firms. However, we knew that
our partnership would not be complete. We needed to bring on someone who
possessed the skills and characteristics that we lacked – someone who
intrinsically believed in the philosophies that the firm was built on. Enter
Andrew Neale. His insight regarding global investment opportunities was the key
that really opened the door to our successful partnership. Keep in mind, a
partnership does not always consist of just two people. A partnership can be
made up of any number of people – as long as they are able to communicate a
common goal and capitalize on the strengths of their colleagues.
As
the partnership grows, its needs change. While the founding partners have
capital on the line and sweat equity in their business, new partners can bring
fresh opinions and perspectives to the table. Keeping an open mind to the
possibility of bringing new people into the partnership allows the firm to
honestly evaluate what skills and talents could further its mission. At Fogel
Neale, we constantly keep our eyes open for talented people who can contribute
to our client-oriented mission and plans for growth and expansion.
The
respect shared amongst members of the partnership naturally translates to our
clients and employees. Entrepreneurs do not have to stand alone, and a strong
emphasis on the solidity of the partnership itself only supports each
individual’s talents and contributions.
- By Ralph Fogel
Fogel Neale Wealth Management, LLC
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