I began this column two years ago, on June 16, 2017, to be precise. I thank God for this grace to keep doing this for that long. I also thank the SUN management for giving me the opportunity to contribute this column every Friday. Of course, I thank my readers, too, for their encouragement. Without readership, no column can survive.

I will continue to do this as long as the Lord wills. Let’s celebrate the second anniversary of this column with thanksgiving to Almighty God. Enjoy today’s piece on business and friendships:

No relationship is easy, moreso, that which involves business. When friends and relatives do business, both the business and the relationship may be at risk if, peradventure, crisis sets in. That is why many people think business and friendship shouldn’t mix.

Friends can do business or own business together at whatever level. It is certainly not a bad idea. Come to think of it, it makes sense to do business with your friends because nobody does business with their enemies. What is paramount is that, in doing business with anyone, you should include terms of amicable parting of ways in your Memorandum of Understanding (MoU), in case separation becomes an inevitable option.

It is unrealistic to assume that friends will always be friends forever, regardless of what happens to the business. The truth is that when business between partners fails, it breeds bad blood. Even blood brothers pull guns when serious financial disputes erupt in business. There are several complex cases in court involving erstwhile businesses partners who were good friends or relatives in the days of boom, before business went bust. We learn from such bitter experiences.

If you may do any kind of business with your friends, be very open at the negotiation stage. You’d do well to put all your greed on the table and bargain hard to protect your interest before you put pen to paper. Never be too shy to say exactly what you want. There should be no hidden agenda. State clearly what your interests and expectations are from the start. Do not hold back anything. If you do, you may regret it.

Business friends and partners should project all kinds of scenarios. These include considerations of share buy-out, if one partner decides to opt out for whatever reason. There should be what we call “the right of first refusal”, whereby a departing partner must first consider his partner when selling off their own stakes, before external investors are invited to make a bid. One common crisis flashpoint is the preemptive acquisition of shares from shareholders who are unable to pay up their share capital when a call-up is made. More financially buoyant partners often try to crowd out shareholders with lesser stakes, and this could lead to conflict between friends in business.

Someone said the fastest way to end a friendship is to extend it to business. You could be good friends with someone, that doesn’t mean you will be good business partners. You may be good, loving brothers and sisters but hostile business partners for reasons of divergent philosophies or conflicting business ethics. Some business folks have a laid-back management style, some are brash or aggressive. Different strokes for different people. Differences in temperament, attitude, operational styles, are some issues that trigger conflict between otherwise good friends in business.

Some partners may be jealous of their business friends who occupy exalted executive positions in a company because of the prestige and perks that go with the office of managing director, executive chairman, etc. These things do happen. A good, well written MoU should take care things like this.

On the flip side, some lasting friendships between partners could develop when they come to appreciate each other’s qualities. Some great friendships are formed in workplaces. Many such friends are known to end up as successful business partners when they quit to set up their own businesses.

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There are stories of secretaries who end up getting married to company bosses because their loyalty, efficiency and honesty were seen as valued assets to the business. Work place relationships could grow into intimate or life-long friendship or marriage. Therefore, it is possible for business and friendships to mix positively. Of course, negative outcomes will always abound.

In any relationship, what matters is sincerity, commitment, love, and mutual benefits. No one-sided friendship lasts, in or outside business. Once a relationship can produce mutual benefits, those involved would want to nurture it and preserve it. Once friendship begins to show strains, one of the parties is proving to be a liability.

One advice I should give all business people is this: Be wary of employing friends and relatives. If you must do so, let them commit to business rules of employment and not bring undue sentiments into the work place. Never hesitate to fire a friend or relative who threatens the discipline of the workplace with irresponsible behavior. Familiarity breeds contempt; when friends think they are untouchable, they encourage indiscipline in the office. This must not be tolerated.

Relationships, even between married couples could be an asset in business if well managed. That is just how it goes.

Weekend Spice: If you know what heaven wants you to know, you will be what heaven wants you to be – Bishop Dare Oshowo

Ok folks, let’s do it again next Friday. Stay motivated.

Ayodeji is an author, rights activist, pastor and life coach. He can be reached for 

mentoring and counselling on 09059243004 (SMS and 

WhatsApp only)