the right partner it comes down to do I need a partner and what do I need a partner for typically somebody either has to have expertise you don't have time you don't have or money you don't have if this person doesn't have one of those three things that you don't have you shouldn't work with them because there's no point and this is honestly the number one mistake that most people make is they're like you like guitars I like guitars we're friends we should totally do this but you share all of the same things which means one of you is irrelevant which will eventually create conflict every single business needs an accountant it doesn't mean you need to partner with account it means you just need an accountant there are functions that must happen within a business it doesn't mean you necessarily need a partner and so it's really just a balance of like what does the business need and how rare is that skill and what am I willing to pay for it it's going to come down to time knowledge or money so the next one is that we can make sure that we have different expectations of one another and the business all right so it's like hey what do I expect you to do what do you expect me to do right and those expectations we want to make sure and this is number five is that there's no agreements we don't record it anywhere we don't write it down we do it on a handshake because we're old school yeah great way to have a terrible business relationship and the reason that people don't want to do that is because usually they don't want to have the hard conversations all right they don't want to say what happens if this goes wrong right and like what do you expect you really expect me to take the trash shot every day like they want to have this unspoken expectation you have unspoken expectations if you know what's going to be magical where you you don't actually have to have hard conversations with people and if you can't have our conversation with a partner before even doing business before you are even married before you there is even money or Stakes on the table or Equity value that's been grown then dear Gods you're not gonna have a good conversation at the end all right so if someone's like I don't do agreements just walk away I just I've been doing this like just walk away it's only like very very weird people do that like Banks Banks don't just give you money without expecting like come on like this is real world and I used to I remember earlier on I I heard someone tell me that and I was like oh I don't want to be the guy he's like I'm the type of person that if you can't uh shake your hand then blah blah and I just I just don't I just don't trust people that much so the idea for me is make sure the paper says we needed to say but then trust the person right which is like I hope that we never have like we write these contracts with the intention of never having to look at them right but we still use the contract as a vehicle to facilitate dialogue around difficult topics and to have shared expectations in a way that we both understand them and agree right that is the purpose of the contract it's not to get lawyers involved purpose of the contract is that we have clear expectations that is why contracts exist clear expectations on agreements all right all right so on the flip side make sure that they have time money and knowledge that you don't have right either they got money you don't have they got time you don't have they don't they have knowledge you don't have or experience right so they can bring something to the table that you already have so one of you or both of you are required and if the company grows based on the shared skill sets that both of you have all right you want to make sure that you set expectations that you document them and that you make sure that they're Equitable all right because if you do that then it's very unlikely that you're going to fail all right and the next one is that you want to make sure that there's aligned Mission values and similar interests you want to deal with the types of people who see the world the same way as you have the biggest long-term goals and they want to do the process of getting from where you are to where you want to go the same way you do and the easiest limit test is if you present both of you with the same data would you make the same decision if these answers yes then you'll have far less conflict in your partnership over the Long Haul and so the idea is can I find people who have complementary skill sets but align Mission values and interests if you can do that you can make room for a magical rather than terrible partnership yeah 100 I can't making Partnerships with people that I shouldn't have gotten into Partnerships with I have nine failed Partnerships and it was because I didn't understand the only reason to partner with somebody is that they either have money you don't have time you don't have or experience you don't have if somebody else is just somebody you liked or you're friends with them whatever it is like those are typically not good reasons to be in business because if both of you are the same then one of you is not required in every business from an operational perspective you've got three legs of the stool you've got the operator in terms of the person who's running the day-to-day business you've got the promoter the person who's going to be looking at marketing and sales then you've got the person who's delivering product in the beginning sometimes that's you with multiple hats on but those are kind of the Three core functions of the business those are the different kind of puzzle pieces that you have to think okay of those things which is in my current skill set and which am I lacking and you'd be seeking out people who have the things that you don't I'll tell you Warren Buffett's secret defining good managers and partners in the businesses he owns number one is you need to look for somebody who's got high energy number two is you need to find somebody who has Integrity third they should be sharp as attack number four they should have an owner's mindset about all things related to the business meaning they're thinking long term not weekly or monthly or quarterly but what is going to build Enterprise Value in this thing and give us a sustainable strategic advantage that will be able to continue for years and years and years that's how you find a good partner figure out like how to uh rip that Band-Aid off and say you know the easiest way to easiest way to have have hard conversations is just ask the questions that you ask here so like literally the biggest hack in all of relationships is the way that you talk about someone behind their back is literally what you should just tell them so it's like hey man you said that you were going to do all the sales and I was going to do the back end well you're not doing the sales but we're still both responsible for this thing so what do you think's Fair you'll have what you have in mind but a lot of times people who once you once you present the information like that will be like ah you're right like so what do you think's Fair it's like well you should just take the business and um I guess I can try and start paying off my my share over time you're like cool that's what I was thinking too let's sign these that way that you know the things dissolved and then uh you transfer your Equity to me and you have a note back to me for 50 of the debt finding the right business partner is a critical decision that can greatly impact the success of your Venture it's important to consider several factors before entering into a partnership Alex hormozzi a renowned entrepreneur emphasizes the need to assess what you truly require in a partner he States finding the right partner comes down to do I need a partner and what do I need a partner for you should seek a partner who possesses expertise time or money that you don't have Warren Buffett one of the most successful investors of all time offers valuable insights into finding good partners according to him Partners should possess traits such as high energy Integrity sharpness and a long-term mindset focused on building Enterprise Value these qualities indicate a strong foundation for a successful partnership it's crucial to avoid entering into Partnerships based solely on shared interests or personal relationships Alex hormozzi warns against this common mistake stating if you and your business partner love all the same things have the same skills and experiences one of you isn't necessary having complementary skill sets is vital to bring diverse perspectives and capabilities to the business to highlight the importance of clear expectations let's consider a story Sarah and Mike decided to start a business together because they shared a passion for Fitness however they failed to establish clear roles and responsibilities as the business grew conflicts arose due to overlapping responsibilities and differing expectations this situation could have been avoided if they had documented their agreements and openly discussed their individual expectations from the start another critical aspect of a successful partnership is shared Mission values and long-term goals Simon sinek a renowned author and motivational speaker emphasizes the significance of alignment in decision making he advises it doesn't matter what we do it matters why we do it if you and your partner share the same values and make decisions based on a shared understanding of the business's purpose it reduces the chances of conflicts arising consider the story of Steve Jobs and Steve Wozniak the co-founders of Apple Inc despite their contrasting personalities they shared a vision to revolutionize the technology industry their complementary skills and aligned Mission values propelled Apple to become one of the most successful companies in the world their partnership demonstrates the power of finding partners with complementary abilities who share a common purpose in summary finding the right business partner requires careful consideration assess what you truly need in a partner seek complementary skills and experiences and establish clear expectations through written agreements look for partners who share your mission values and long-term goals