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How to secure your business after a partnership break-up

Francis Muli @PeopleDailyKE

A few weeks ago, Huawei Technologies and Google had a very public and high stakes break-up which threatens to leave the Chineses phone maker’s business in a limbo.

Huawei, a successful electronic company, stares at an uncertain business future, but its survival will depend on its reaction, rather than the actions they take going forward.

A business marriage break-up should not mean the end of the entity, rather, it should open a new chapter of success for the venture through competitive measures.

The first move should be to retain clients, otherwise your partner-turned-competitor will take a huge chunk number of your clients and leave your business crumbling.

Your best bet would be to create and retain customer trust by ensuring that you maintain the quality of your goods and services and offer a competitive price.

When business partners separate, the disgruntled half often sets up a similar business to outdo their ex-partner. If you would rather compete than cave in, never let your clientele slip away.

Apart from retaining your clientele base, institute a back-up plan. If it takes too long to amicable resolve the impasse and split the enterprise, it would not hurt if you had a new business plan in place.

The more the conflict persists, the more customers you lose. It might be an uphill task to bring them back. Open a new diversified business as you resolve your case.

It is also important to inform your most esteemed customers, so that they are not confused by a new similar ventures in the market.

Broken partnerships are normal occurrences, and when things are complicated it is important to involve legal expertise, to avoid losses that could crumble both partners.

Also, it is not wise to force a partnership to continue, when one of the party is unwilling. Even if they stay, it might be detrimental to the business because they lack commitment and goodwill. If one chooses to leave, chart the best way forward that will not affect both of you financially. Share the assets and financials depending on your shares and input.

For entrepreneurs who value partnerships so much, never close doors to potential partners after splitting with the current one.

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