Collaboration? Challenge accepted! What you need to prepare for when partnering up with corporations
The day you have been working for is finally here and you have found a corporation to partner up with. A new business relationship can often be compared with a new love. Butterflies in one’s tummy, a serendipity leaping to cloud nine: everything is great. But, as in every relationship, there comes a point when the initial euphoria however dissipates. A crisis? To prevent you from any kind of heartache, CODE_n brings you 5 tips in preparation for a new business partnering.
Tip for partnering up with corporations #1: history
Looking at a company’s past is always advisable as it often reveals an indicator of future performance. Even though someone’s got to be the first one: it’s unlikely that you’ll be the first partner. Therefore, make sure to previously check out a corporation’s portfolio to increase prospects of a rewarding cooperation.
Tip for partnering up with corporations #2: blending in
It’s important that both companies’ cultures and assets complement each other. If they don’t, it’s only a matter of time until difficulties appear. Thus, it is extremely important to check early enough whether there is an actual brand compatibility so that both companies blend in. Additionally, different philosophies on which markets or segments to pursue need to be worked out also upon beginning of the partnership.
Tip for partnering up with corporations #3: patience due to structural differences
Every business has its own internal structure that needs to be respected and taken on account. Bureaucracy and slow decision-making can be major stumbling blocks. Ideally, these obstacles on the road to a more efficient collaboration will be overcome step by step on the course of the relationship. So be patient! All beginnings are difficult. Our Alumnus Thermondo can tell you a thing or two about it. It hasn’t always been easy when they first partnered up, as Philipp Pausder, Co-Founder & CEO of Thermondo, also says: “cooperating with big, established corporations entails a huge potential. But the process of partnering up can sometimes be very challenging, especially when the startup wants to disrupt the established corporation. Finding the right balance between both interests can be therefore tricky.”
Tip for partnering up with corporations #4: commitment
When in a relationship, the lack of commitment can pretty much be one of the biggest deal breakers. Well, it goes the same way in a business partnership. Both sides need to be able to rely on each other, according a certain immunity to challenges affecting both companies as a team is crucial. So be prepared to go all in!
Tip for partnering up with corporations #5: vision
Partnering up is not the time to be all vague when it comes to giving an idea of your vision. Before entering the commitment, it is extremely important to have a plan ready about how you wish for your business to grow and expand over 5, 10, or more years. When setting these benchmarks, it’s advisable to build in a flexible, win-win exit strategy for each player if needed or if any other kind of circumstances should arise.
Okay, now you have essential knowledge on what to prepare for when building a successful alliance – but you are still missing the right business partner? CODE_n can help you find your ideal corporation.