Problems of partnership and collaborative businesses.

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There is actually a whole lot of benefits and importance why businesses should partner and collaborate with each other. Business partnership and collaboration totally brings together the fusion of different minds, in other for business goals and objectives to be achieved and for business profits and incomes to be made as expected and planned. Hence problems and negative situations aren't exempted from partnership and collaborative businesses, in fact below some of the problems faced by partnership and collaborative businesses include:

Disagreement: disagreement is absolutely one of the major problem partnership and collaborative businesses usually face especially in times of making business decisions pertaining to the achievement of the organisation goals and objectives. Disagreement in partnership businesses is usually caused by wrong headship and decisions.

Partial headship: when managers display a sense of partiality in a collaborative business organisation it totally leads to the dividing of the business organisation, in the sense one party is considered to earn more than the other party which is absolutely very own advisable for the progress of the partnership or collaborative business.

Inequitable share of profit: wages and salaries need to be paid to workers and employees making up a collaborative or partnership business, but most of the time there is always problem emanating when profit and income is to be shared among members, as a result of one member soliciting funds for only him or herself instead of equitable sharing it among members and workers of the partnership or collaborative business .

 

[Richee84]

Partnership is a form of business that involve more than one person. It is usually has a range from 2 to 20 members coming together to form the partnership. Partnership involve the pulling together of resources in a single purse.

Partnership just like sole proprietorship has it own disadvantages and some of of this problems are discuss below;

Delayed in decision making; Decision making is always delay than expected in partnership compare to sole proprietorship form of business. This is always a need to carry all partners in a partnership form of business before reaching a decision. Some decision that need quick and urgent action to execute some project for the company will have to wait till all partners agree on it before the project can be executed.

Disagreement among partners; Disagreement is one of the problem associated with partnership form of business. It is not possible for two or more people to partner for a long time without having misunderstanding with one another. Even when two brothers form partnership there will still be misunderstanding between them as time goes on. Misunderstanding between partners put a business to a stans still until there is a solution to it before the business can move forward.