New Jersey business partnerships take work to maintain, just like any relationship. It’s easy when everyone is getting along and business is booming. If the partnership hits a bad patch and the disputes affect the business, you have a few options for dealing with a partnership dispute.
Business litigation
Business litigation involves taking legal action to deal with disputes between business partners. Litigation often comes into the picture when one or both partners engage in some form of misconduct. Business misconduct includes fraud, misusing assets and failing to fulfill business obligations or responsibilities.
Mediation
Mediation is an alternative to appearing in court. A neutral, third party comes in to help the business partners work out their differences. Business partners who want to continue working together sometimes choose mediation. A good mediator can help the partners remain focused, discuss their issues, define their business goals and reach a mutually beneficial resolution.
Partner buy-out
Business partners often decide they can no longer work together. However, this doesn’t mean they want the business to end. One or more partners can get bought out by another partner or partners. Any partner being bought out needs to know the value of their stake in the business to make informed decisions.
Sell the business
The business dispute is possibly too big to overcome. In this case, the partners might decide that remaining in business together isn’t an option. The partners might also decide they no longer want anything to do with the business. If the business is profitable, the business partners can sell it. Business brokers, competitors and employees are a few examples of people who might want to buy an existing business.
Business partner counseling
Business partner counseling is like couple’s therapy for business partners. Disagreements between business partners aren’t always directly related to the business. However, personal problems between the partners can affect the business. Business partners can get counseling to help them deal with problems they have amongst themselves.
Resolving business partnership disputes takes time and effort. The best option for you and your business partners depends on the circumstances.
