There are many people who feel that the best person you can go into business with is a friend. But for those of us who have made the mistake of doing this let me warn you that you may be getting yourself into trouble. The worst part is that you can end up losing your friend by going into a business venture with them. Following are ten reasons why you should never go into business with friends.
1. They may begin to take advantage of the situation. One thing that never seems to fail is that when you go into business with a friend they will ultimately try to take advantage of the situation. This can be done in a number of ways, such as showing up late to work, or not completing their half of the work. In many situations they may try to put the burden of the work load entirely on the other person.
2. There may be unknown financial difficulties. Sometimes people choose to go into business hopping that they will be able to dig themselves out of the financial hole they may currently be in. Of course there is really nothing wrong with this except for the fact that they usually forget to tell their friend and business partner about their current financial status. Some may even lie about their financial status just to get you to go into business with them.
3. Some are just not cut out to run a business. Some people just don’t have what it takes to run a business, and before you choose to go into business with any friend you should investigate whether they truly have the talent to hold up their end of the bargain.
4. It can cause some tension between you and your other friends. If things begin to go bad between you and your friends you may begin to experience some tension. Sometimes you don’t really get the opportunity to know a person until you have worked side by side with them.
5. They could suddenly change their mind. People are known to change their mind about decisions that they make. It has happened to many people who have decided to go into business together. Usually one person will decide that this business is not for them and just leave the other friend to clean up the mess, including any financial burden.
6. It could destroy your credit. Many people fail to take into consideration that going into business for you really is a big step. In the society we currently live in it takes money to make money. Therefore most first time business owners will get loans in order to fund their new business. If your friend is unable to come up with their have of the money to pay back the loan you can end up losing your business and destroying your credit.
This is not to say that all people who choose to go into business with friends end up having bad experiences. Some people have chosen to go into business with friends and things have worked out just fine for them. The bottom line is to make sure that you really think things through thoroughly. You will need to kind of do an interview process with your friend. Regardless of how many years you have known them you, will be surprised at what things you can discover about a person when you go into business with them. So that bottom line is before you decide to go into business with one of your friends think long and hard about the six statements above, and don’t be afraid to get the opinions of your family members to see what they think about this business venture.