Why Business Joint Ventures And Alliances
Are Great For Life Coaches
Here's why business joint ventures and strategic alliances are a fantastic and profitable way build your coaching practice and 10 tips to make them work.
It’s a fact, no business is an island! Even a solo coaching business needs some well chosen partners to achieve it’s full potential.
What Are Business Joint Ventures
A Joint Venture is just that. You might team up with another business or Life Coach to put in a proposal for say coaching the employees of a organization.
Or you could team up with an individual or company to produce a product that benefits the industry, like say a new type of headset or coaching software.
The work involved, investment and profit distribution would be decided and agreed upon by both parties.
How Strategic Alliances Work
A strategic alliance is different in that, in this context, it’s a relationship developed between two complimentary solo operators, such as a business coach and a provider of business systems that, hopefully, leads to benefits for both.
There is no actual monetary investment but there may be a agreement
that involves a commission for referrals money - its really up to the
They key to finding a good strategic alliance partner is to ask yourself "who has my coaching customer?" For instance who is likely to have clients who may be found to need what a life coach offers. This could be your local GP, a fitness instructor, a nutritionist and so on. And in turn, you have clients that may be able to use their services.
That’s the ideal scene. But like any type of business partnership, there are traps to avoid to make sure your joint ventures or alliances are a key to more success, rather than a recipe for failure full of unfulfilled promises.
10 Tips For Life Coaches For Developing Successful
Business Joint Ventures Or Strategic Alliances
If you have a tip or learning experience you would like to share. Please use the invitation at
the bottom of this page.
- Look for Mutual Attraction: Make sure the people you are hooking up with are as attractive to you as you are to them.
When someone approaches you to do business together it’s because they
find you attractive and that’s great for the ego. The cold hard truth
is that they see profitable possibilities for themselves in the
So you need to make sure that they are really attractive to you with equal business possibilities flowing your way.:
- Discuss the benefits, face the fears: Have a no holds barred
(but polite) meeting where you not only discuss all the benefits you see
in working together but lay on the table all the fears you have about
what could possibly not work or go wrong.
Getting all this out in the open right at the start and having
the necessary conversations to clear up any misconceptions is
- Seek out the opinions of others: Ask questions of
colleagues who have worked with this person or company. How did it
work? Were they reliable? Do they have a good track record? Did they
have integrity in their dealings?
- Be Specific: When you are negotiating business joint
ventures or strategic alliances, be clear what each party is willing to
put into it and the specific roles. This input can be in the form of
money, hours, equipment, staff, administration and so on.
- Financial references: Check out your prospective JV or alliance partner's credit rating. Do they pay their bills and within a
reasonable time. Have firm agreements about who pays what. You don't
want to be left holding the financial baby if things go wrong.
- Meet Regularly: A good joint venture or strategic
alliance strategy is to have regular meetings to discuss how it is
going, ask questions and handle any problems, considerations and
possible misunderstandings, however seemingly trivial.
In other words, keep the space clean and don’t let uncertainties fester into upsets that could blow the relationship apart.
- Have a trial period and an exit clause in your agreement:
Not all business joint ventures and strategic alliances will work and a
trial period allows both parties to enter into it more confidently
knowing that the agreements are not set in stone.
- Put everything in writing, continually: Have an initial
strategic alliance or joint venture agreement that is gone through by an
independent lawyer so you both fully understand all implications and
who gets what and is accountable for what, if the partnership ends. For instance who gets to keep the company name.
- Confirm all discussions: After each meeting or
conversation, write a quick email confirming what was discussed and any
decisions made. This will make sure you and your joint venture or
strategic alliance partners are still on the same page. To avoid
misunderstandings, never assume anything has been agreed without written
10. Have Firm Goals And Outcomes
Have a meeting to get clear what everyone involved hopes to achieve from the venture and make sure all parties are are in
agreement with this and set some firm goals and outcomes for what the partnership is to achieve.
If there are differing goals make sure they compliment rather than conflict.
This is a critical step otherwise there will be 'elephants in the corner' which can destroy the whole project.
A really useful handbook for you to use to set JV goals together and to maintain a consistent and aligned business path is my Be Your Own Goals Coach.
If you liked Business Joint Ventures, check out the information on how to successfully exchange your coaching for another product or service