Business partnerships come to an end for a number of reasons. Sometimes there is a different perspective of the company growth goals, or one partner is at a different life stage, or one partner wants to sell and the other wants to keep the business operating as it is. In any case, when it’s time to buy out your business partner there a number financial intricacies that must be handled well if you are to achieve a successful business partnership buyout.
A successful business partnership relies on each partner’s commitment toward achieving a common goal. Over time, however, priorities may change, and viewpoints may diverge. For example, one partner wants to expand; the other is averse to risk. Retirement, outside business opportunities and family changes are additional reasons why a partnership buyout may make sense. Following are five things to consider before buying out a business partner.
The American Dream is finding an opportunity and maximizing it. We see this happening every day across the United States, and it is an idea that defines our great country. At Links Financial, we have the amazing opportunity to help people achieve and own their American Dream – whether it’s building a great company, acquiring one or taking advantage of opportunity when it presents itself. Needless to say, we love what we do!
One of our recently completed transactions especially embodies the American Dream. Like most of us, our client had been a wage earner his entire working career. He had successfully worked for numerous firms in which he had excelled at growing businesses, meeting his numbers and helping his managers and owners make a lot of money. After working up the ranks and eventually running the division for a Tampa Bay based manufacturer, our client wanted to capitalize on the opportunity he saw in front of him by acquiring the business.