As with any relationship, lasting business partnerships take work as you do your research, sit at the discussion table, and then work to sustain the relationship long after you\u2019ve signed the agreement.<\/p>\n
The key, however, is in planning the partnership carefully so it develops well and deepens in time.<\/p>\n
Not sure how to go about doing that? Don\u2019t worry, we can help.<\/p>\n
In this post, we curate the factors to consider before you strike up a partnership, as well as the most common types of partnerships among businesses. (If you already have an existing partnership, you might enjoy our other post on maintaining lasting partnerships<\/a>.)<\/p>\n Ready? Let\u2019s dive in.<\/p>\n Before diving into the factors to consider when entering a partnership, let\u2019s look at what kind of partnerships businesses are typically interested in.<\/p>\n Through our survey of 56 marketers, we learned most brands pair together in affiliate programs. In fact, 54% maintain affiliate program partnerships<\/a>.<\/p>\n Another 52% also maintain strategic alliances<\/a>, where they explore and execute co-marketing opportunities; and 27% maintain channel partner programs<\/a>. Lastly, 16% of marketers are interested in brand ambassador partnerships and the same number are into nonprofit partnerships.<\/p>\n We also asked contributors to vote on factors they considered to be critical in striking ideal partnerships<\/a>. We ended up with some interesting takeaways:<\/p>\n Now that you know which types of partnerships are popular among brands, let\u2019s look at the factors to consider before partnering with others.<\/p>\n Before anything, it\u2019s crucial you research your potential partner.<\/p>\n Take to the internet. Google their brand and look for anything that stands out as shady. You can also research them on social media and ask around in your network if needed.<\/p>\n In short, \u201cdo extensive background checks,\u201d advises Jacek Ptak from KrakowDirect<\/a>. \u201cPartnering with a company with a bad press can be nothing short of a disaster.\u201d<\/p>\n The Trip Outside<\/a> team does the same. Julie Singh writes, \u201cBefore entering into a partnership, we evaluate the company\u2019s reputation, reviews, and ratings to make sure they are highly regarded and provide awesome customer experiences to their customers.<\/p>\n \u201cThis is important because they will be serving our customers soon, and this helps us ensure that we work with and feature the best companies on our website.\u201d<\/p>\n Once you\u2019ve run a background check, \u201ctake time to learn about your future partner: Who is their target audience and how do they engage with the audience,\u201d Pierre-Camille Hamana from Hospitable<\/a> points out.<\/p>\n \u201cYou need to make sure you talk to the same people as your future partner and have similar brand values. Your partner will be using your brand name in their communication from time to time, and you must be sure it appears in a favorable context.\u201d<\/p>\n In addition to needing similar brand values, you need to do your homework on what your potential partner’s goals are and if your company has the ability to help reach them. This will not only improve alignment between your companies but also ensure that you provide mutual value in the long run.<\/p>\n As Adam Pasch, Head of Partnerships at Impravado, explains in his Greatest Minds in Partnership interview: \u201cIt\u2019s about focusing on how can I help partners grow their business. What the strengths, weaknesses, opportunities, and threats are, and how can my business help overcome them.\u201d<\/p>\n Hamana shares another tip: \u201cMake sure you have a dedicated person in your team to address requests from your partners. Keeping your partners waiting for your response won\u2019t do you any good.\u201d<\/p>\n Chanty<\/a>\u2019s Dmytro Okunyev also lists this factor as important for lasting partnerships. \u201cIn my opinion, main factors that will help increase the odds that a partnership will be lasting are the following: general plan of your future activities with step-by-step descriptions of each stage, settled budget, and a small team of professionals, who can support the whole process on the proper level.\u201d<\/p>\n And, another one of our expert contributors, John Ross of LSAT Test Prep Insight<\/a> goes on to say, \u201cThe best thing to have in place prior to entering a business partnership is a point of contact within your company who you trust to interface with your partner and set the parameters of the relationship.<\/p>\n Furthermore, \u201cyou must also have the infrastructure in place to gather and analyze data on the performance of the partnership. Data analysis is key to measuring ongoing performance.\u201d<\/p>\n Next up, it\u2019s crucial you come to the partnership table with a clear goal. What is it that you want from the partnership? And equally important: what is it you want to give to your partner?<\/p>\n In fact, \u201ca brand needs to know exactly what they want to get out of the partnership, and they need to also know what they can reliably offer in return,\u201d says Nikola Roza of SEO for the Poor and Determined<\/a>.<\/p>\n \u201cFor example, if a brand wants to participate in a guest post link exchange, they need to reliably be able to put out X number of guest posts per month. Otherwise the partnership will quickly end.\u201d<\/p>\n As for a real case in point, Surfer SEO<\/a>\u2019s Micha\u0142 Suski shares his experience. \u201cWe\u2019re an SEO tool for on-page optimization, so we hit up partners who have some sort of authority in the field.<\/p>\n \u201cMost of our affiliate partners<\/a> have their own blogs, YouTube channels, and webinars, the aim of which is to help their audience. That\u2019s common ground with us.\u201d<\/p>\n To this end, it\u2019s also crucial that \u201cbrands have a goal of where they want to be and who they want to target before entering into a partnership,\u201d muses Teri Shern of Conex Boxes<\/a>.<\/p>\n \u201cThese goals will guide the entire process and help you to make key decisions in choosing the right businesses for the partnership.\u201d<\/p>\n Another important factor to consider is how a partnership benefits the involved partners. Does it benefit both or does it skew in favor of one partner?<\/p>\n \u201cFirst of all, you need to assess whether the partnership will be profitable for both sides,\u201d Jacek Ptak says.<\/p>\n \u201cMy primary factor when deciding on a partnership is complementary services. For instance, we\u2019re a touring and transportation company, so we partner up with hotels and restaurants. This works like a charm, as both us and the partner come out on top.\u201d<\/p>\n \u201cFor any partnership to last, it has to be mutually beneficial for both parties,\u201d agrees MuteSix<\/a>\u2019s Greg Gillman. \u201cHowever, some companies only look at the present, and what can be a quick exchange of opportunities.<\/p>\n \u201cFor a partnership to be long-lasting, it\u2019s important to look at the bigger picture, and understand how to adjust the partnership as both companies change and grow.\u201d<\/p>\n One major factor that ensures partnerships will be highly valuable for both sides is when partners share similar values.<\/p>\n Tim Denman from ServGrow<\/a> highlights, \u201cYou have to make sure both parties have similar values and goals in a partnership. You also have to establish boundaries of what you’re comfortable with to avoid someone over-stepping. Most of all, you have to like working with that person. If you do not get along, you will not last.\u201d<\/p>\n \u201cBefore entering a partnership, you must consider that the obvious choice for a partnership may not be the best choice,\u201d notes Alex Birkett of Everything But The Plant.<\/p>\n \u201cEntering a partnership with an old friend seems like a good idea on the surface, but are they going to challenge you? Will they let you know when they believe you are making the wrong move? A competitive, professional relationship is the better choice in this situation.\u201d<\/p>\n Manny Vetti from BackTaxesHelp<\/a> echoes the same. \u201cBefore entering a partnership, you have to make sure you are partnering up with someone who can help your business grow. Invest in similar niches. Get on a video call with them before making a decision. Get a feel of the other person before working with them.\u201d<\/p>\n In a nutshell, a general partnership<\/a> that doesn\u2019t encourage you to grow is not worth pursuing.<\/p>\n Adding to the idea of partnering with people from similar niches, Petra Odak of Better Proposals<\/a> suggests, \u201cThe number one thing to keep in mind is you need to be in the same or similar industry but the product should not be competing against yours.<\/p>\n \u201cSome of the best partnerships we have are with companies in our industry that have products complementary to ours.\u201d<\/p>\n It\u2019s also essential \u201cbefore you start a partnership, both entities must set clear expectations of the other,\u201d notes Mike Falahee from Marygrove Awning<\/a>.<\/p>\n \u201cWithout these guidelines and boundaries, unnecessary conflict will be created. Setting the structure of these expectations will eliminate any gray areas and misunderstandings in the future.\u201d<\/p>\n Once you\u2019ve verbally set clear expectations, the next step is to put it in writing \u2013 which leads to our next point.<\/p>\n Once you\u2019re sure the partnership you\u2019re entering into is a match made in heaven, get everything in writing<\/a>. This keeps confusion at bay and everyone on the same page.<\/p>\n David Cusick from House Method<\/a> suggests: \u201cLay out the details of the partnership, responsibilities and contributions of each party, business structure, potential issues and how to resolve them, and so on. These will ensure the legality of your partnership, and if things fall apart, everything is backed by documents.\u201d<\/p>\n Travis Killian of Everlasting Comfort<\/a> explains, \u201cQuestions will surely come up with any partnership, but the more you can address in the beginning, the best for both parties.\u201d For this reason, he recommends having \u201ca set of targeted, thorough standard operating procedures<\/a>.\u201d<\/p>\n Rachel Jones from Hope Health Supply<\/a> agrees. \u201cTo be sure that a partnership is lasting, there should be standard operating procedures and company processes established from the very beginning. The reason many partnerships fail is because they are not equipped to handle particular challenges that could have been addressed from the start.\u201d<\/p>\n \u201cThe first step toward a successful partnership is honesty,\u201d suggests Nick Chernets of DataForSEO<\/a>. \u201cThere is no way you can build a relationship of trust if you or your partner are not completely honest.<\/p>\n \u201cThis doesn\u2019t mean you need to reveal every single detail about your business. But you need to be open to talk about things relevant for the partnership.\u201d<\/p>\nThe first step to lasting business partnerships<\/h2>\n
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<\/p>\n13 things to consider before entering partnerships<\/h2>\n
1. Run a background check<\/h2>\n
2. Learn about your potential partner<\/h2>\n
3. Have a dedicated point of contact<\/h2>\n
4. Have a clear goal in mind<\/h2>\n
5. Ensure it\u2019s a mutually beneficial partnership<\/h2>\n
6. Make sure both partners have similar values<\/h2>\n
7. Determine if the partnership will contribute to your growth<\/h2>\n
8. Make sure you\u2019re not competitors<\/h2>\n
9. Set clear expectations<\/h2>\n
10. Make sure everything is in writing<\/h2>\n
11. Be honest and transparent from the get-go<\/h2>\n