Mel,Tim,and Bill agreed to partner in a small rehab business.Initially,they were enthusiastic contributors until their first project took more work than Mel initially estimated;Tim wanted morning meetings and long lunch hours;and,Bill decided to go on vacation even though the project was not complete and ready to sell.As Figure 5.2 indicates,

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The best choice is to begin the partnership with honest communication of what each partner expects to give and get from the partnership. This allows for clarity and understanding of each partner's responsibilities and reduces the likelihood of misunderstandings and conflicts later on. The other options, such as organizing as a limited liability company or designating a primary partner with final authority, may also be beneficial, but they do not address the fundamental issue of communication and expectations. Entering partnerships with people who have similar backgrounds and personalities may be helpful for compatibility, but it should not be the only factor considered when selecting partners.

Mel,Tim,and Bill Agreed to Partner in a Small Rehab Business