There are two things in life that should never be rushed: a good cup of coffee and qualifying potential business partnerships. After all, you want to ensure you’re picking the right partner—someone who shares your values and vision for the future. Plus, you don’t want to miss out on any red flags early on in the process. So take your time, research, and enjoy that fresh-brewed coffee while you’re at it!

A checklist to help you qualify any potential partners

Partnerships can be a great way to advance your business, but you must do your due diligence before signing any agreement. Here is a handy checklist of questions to ask before vetting possible partners and ensuring that the partnership is mutually beneficial for both parties involved.

☑️ Is your potential partner a good match for your Ideal Partner Profile?

First, you’ll need to review, evaluate, and take a closer look at your own Ideal Partner Profile (IPP). What kind of personality does it have? What are its strengths and weaknesses? How does the client win? How does the partner? Once you have a good assessment of your IPP, you can start to look for a partner who complements it.

For example, if your IPP is very brand and content/marketing-focused, you might want to look for a partner who is more creative and spontaneous. Or, if your IPP is a generally smaller and more agile business, you might want to find a partner who is more willing to take risks and try different programs. By finding a partner who balances out your company’s strengths and weaknesses, you can create a well-rounded team that is more likely to succeed.

☑️ Does the partner’s products and services align with yours?

Make sure that you’re working with someone who has expertise in a mutual area as you and who understands the needs of your clients. Otherwise, you could end up with a mismatched platform or an incompatible solution.

Take a close look at their offerings. Do they complement your own and match your Ideal Customer Profile (ICP)? Also, consider whether their target market is compatible with yours. If they’re trying to reach a different audience than you are, it’s unlikely that a partnership would be beneficial. However, that could help you tap into a new market. In this case, you’ll need to determine if this market is one… two… or three steps removed to ensure messaging can land.

Don’t rush into anything—take the time to assess your potential partner’s offerings before you commit to working together. It could save you a lot of headaches down the road.

☑️ Can you see yourself working with this company long-term?

Or is it just a short-term fix? A business partner is not someone you just idly date and hope it might work out. You don’t marry the first person you see, so why would you partner with the first person who came along? You need to assess the potential for a strategic partnership because you’re looking for a long-term relationship, not a summer fling. Even if the partner isn’t your strategic partner of choice, understand that even the “lower tier” partners require a long-term relationship. The key is to look for someone who shares your vision for the organization and who has complementary skills.

Finding someone you can trust is essential; after all, you’ll share sensitive information and make critical decisions together. If you can’t see yourself working with this potential partner long-term, it’s probably not worth pursuing a partnership at all.

☑️ Will this partnership bring something beneficial to the table?

What do you have to offer that your partner doesn’t? For example, let’s say you’re considering a possible partnership. One partner has a strong sales team, and the other has a great marketing strategy. These are complementary strengths that could make for a successful partnership.

But before you commit, it’s essential to be clear on what each of you is bringing to the table and how it will benefit the relationship. Otherwise, you might end up with two sales teams or two marketing strategies that could clash—and that’s just redundant.

Most importantly, you need to determine if there is end value for the client. If the partnership does not bring something beneficial to the client, then it’s just two businesses theorizing about how great they are. 

So, when qualifying a potential partner you need to consider two paths to benefits of the partnership:

1. How do we deliver extended value to the client (making 1+1=3)?
2. How do our business strategies complement each other?

So take some time to consider what you offer and how it can benefit your client, potential partner, and you. These are the keys to choosing the right partnership.

☑️ Is the partnership relevant to your KPI development?

Let’s get one thing straight: Partners are not a means to an end. However, when you are considering potential partners, you need to also consider what your business and individual KPIs are focused on. Aligning these is important, and you can still align business objectives while generating a genuine partnership that translates to a 1+1=3 result.

Now, to answer this question, you must first establish your business goals. Once you clearly understand what you want to achieve, you can develop KPIs that will help you reach those goals. You will need insight into your partner’s strengths and weaknesses to do this effectively. 

By thoroughly understanding your partner’s capabilities, you can develop KPIs relevant to both of your business goals. Without this insight, it is impossible to establish whether or not your partner is pertinent to your KPI development.

Partner Qualifying = Risk Management

Most importantly, you will need to decide what stake each of you will have in the engagement. Will it be an even split of responsibility? Will one of you be taking the lead? How will these responsibilities and programs be determined—by a mindset of testing, “playing it safe,” or some combination of the two?

You’ll also need to consider how you will integrate your business with your partner’s existing business. What collaboration standards need to be addressed? And how will you manage both your sales teams? Executive foresight and expectations? And so on. 

These are just some questions you’ll need to answer before entering into a partnership. But the rewards can be significant if you can find a good fit and work together towards a common goal. So weigh all the pros and cons carefully before making your decision.

Are all the boxes ticked?

We at BD Paths are experts in partnership qualifications. With our consultation, we will ensure that everything is in order before you take the leap—we’ll even go over your partnership qualification questions and closing process with a fine-tooth comb! That way, you can enter your partnership confidently, knowing that you’ve considered all the qualifications.