How to find a business partner to start your company

What is a business partner, and how does it differ from a co-founder?

A business partner — in legal terms, a shareholder or partner — is someone who owns part of a company’s capital and, depending on the articles of association, takes part in its decisions. Not every partner works in the business: an investor can be a shareholder without any operational role.

People often distinguish the active partner, who works in the business day to day, from the financial partner, who mainly brings money. In a startup, an active partner who is there from the start is usually called a co-founder: see our guide to finding a co-founder.

What kind of partner do you really need?

Before posting a listing or reaching out to your network, answer a few questions in writing. A clear need attracts relevant candidates and avoids misunderstandings from the very first conversations.

• ✓Which skill am I missing: technical, commercial, financial, operational, industry-specific?
• ✓Do I need an active partner who will work in the business, or financial backing?
• ✓How much time do I expect: full-time, part-time, occasional involvement?
• ✓What can I offer: equity, pay, a leadership role, prospects?
• ✓What is non-negotiable for me (vision, values, location)?

Where can you look for a business partner?

There is no single channel: entrepreneurs who find a partner usually combine several routes and talk widely about their project.

• Your personal and professional network, explaining precisely the profile you are looking for.
• Entrepreneur networks, founder clubs, chambers of commerce and professional associations in your industry.
• Incubators, business centres and start-up support programmes.
• Industry events, where you meet people who already know your customers.
• Platforms that connect entrepreneurs, such as EasyCofounder (a service by IRPEA), where everyone states whether they are looking for a project or a partner.

On EasyCofounder, publish your project so people can contact you, browse available profiles or check out ongoing projects if you would rather join an existing team.

How do you assess a future partner?

Preparing a partnership is like a key hire — with the added dimension of a mutual long-term commitment and shared decision-making power.

1. 1A first conversation to check mutual interest and understanding of the project.
2. 2One or more working sessions on a real issue in the project.
3. 3An honest discussion about financial expectations, working pace and personal goals.
4. 4A check of references and background.
5. 5A few weeks of concrete collaboration before signing anything.

Which questions should you ask before partnering?

Some questions feel awkward, but not asking them is one of the main causes of conflict between partners. Ask them early:

• What is our ambition for the business in three to five years?
• How much time can each of us devote to the project, and from when?
• How will we make decisions if we disagree?
• Who gets paid, how, and from when?
• What happens if one of us wants to leave or is no longer available?

How do you secure the partnership?

The articles of association set the general rules for how the company works. A shareholders’ agreement adds detail on the relationship between partners: roles, decision-making, partners joining and leaving, non-compete clauses, what happens to shares when someone leaves. These documents are best drafted with a legal professional.

The legal form of the company also affects governance and flexibility. Do your research and get advice before choosing.

Go further: shareholders’ agreement: the essentials and splitting equity between co-founders.

How do you get started with EasyCofounder?

1. 1Describe your project and the partner profile you need in a few lines.
2. 2Publish it on EasyCofounder and turn on matching to receive compatible profiles.
3. 3Contact the talents who interest you and schedule a first meeting.
4. 4Test your collaboration on a short goal, then formalise the partnership.

Which mistakes should you avoid when looking for a partner?

Finding a partner takes time, and it is tempting to accept the first interested candidate. A few mistakes come up again and again:

• Partnering out of urgency, to stop being alone, rather than for a specific skill or commitment.
• Choosing a close friend you have never actually worked with.
• Promising a large share of the equity before you know how involved the person will really be.
• Mistaking a one-off need (a service) for the need for a partner.
• Not discussing the exit: what happens if one of the partners wants to leave.