Helping You Understand Partnership in the Tourism Business
In this video, we highlight the benefits of doing tourism business in a joint partnership with a colleague of your choice and interest. We also share the shortcomings of business partnerships & key principles for any successful business partnership that partners must adhere to.
First, we define what a partnership is in any business. A partnership is an arrangement between two or more people to oversee business operations and share its profits and liabilities.
Benefits of tourism business partnership include:-
- Shared startup costs this starting made easy
- Limited external regulation especially for some partners, whose financial discipline is not good
- Better decision making
- Access to skills, knowledge, and business contacts
- More capital and business funding
- Two heads are better than one.
- Each partner is liable for the actions of the other partner, so be careful here.
- High risk of disagreement & friction
- Liable to business debts
Principles for a successful partnership or things to adhere to:-
- Being responsible
- Being respectful
- Flexible at all times
- Equality
- Being transparent
- Being organized
- Accountability
You can dissolve a partnership anytime but you must seek legal advice.
Find out more details on finding an appropriate partner to start your tourism business with.
