New York business partners may often have minor disagreements which they quickly resolve. However, sometimes issues that aren’t easily solved may arise, and the partners are left with some difficult decisions to make. They can try to work out their differences and remain in business together or go their separate ways. Here are some specific options available to them.
Mediation
If the parties want to try and keep the partnership intact and cannot solve the problem on their own, they can hire an unbiased mediator to sit down with them and discuss the situation. Mediation enables a trained third party to look at the problem from multiple angles and, hopefully, craft a creative compromise that gets the company back on the right track without damaging the relationship.
Buy the partner’s share
When the partners feel they can no longer peacefully coexist, one may offer to buy out the other and continue the business independently. For this to work, they should hire a business broker to value the relinquishing partner’s share of the company.
Sell the business
Of course, the situation may be so onerous that all partners want to quit the business. In that case, a business broker can handle the valuation and the sale. Things of value may include equipment, client list, office space and possibly goodwill if it is a restaurant.
Litigation
If the dispute revolves around the illegal actions of one of the partners, litigation might be the best course of action, although it may be the lengthiest and most expensive option. However, the judge could award the plaintiff substantial damages, which may be more than adequate compensation for the lost time and expense.
If you have a dispute with your business partner, keep a cool head. If that’s not possible, take action to terminate the relationship.