Episode 420: How to Make a Business Partnership Work and Exit Well with Corey Kupfer
A business partnership is often the first deal an entrepreneur ever does, long before any M&A or capital raise. In this solocast, Corey Kupfer steps back from the usual deal categories to talk about what it actually takes to be in a partnership, drawing on his own partnerships across multiple businesses and decades of helping clients form, evolve, and separate theirs.
Corey Kupfer is an attorney, dealmaker, and negotiator with more than 35 years of experience. Beyond drafting the documents for new partnerships, he has guided partners through evolution, buyouts, and separations, and he serves as a mediator for partners working to part ways well.
WHAT YOU'LL LEARN:
This episode covers the due diligence founders most often skip, how partnerships fall out of alignment over time, what a partnership agreement can and cannot protect, why no employee ever matches an owner's commitment, and how to separate through a negotiated exit rather than a costly fight.
COREY'S PARTNERSHIP JOURNEY:
Corey has been in several partnerships over the years, starting with a law firm partnership formed in the 1990s that ended over economic differences and a different view of perceived value, then reconnected warmly with those partners decades later. He also built a real estate investment partnership with his partner Dan that stayed strong through the great recession because of aligned values and superb communication.
His last partnership ran from 2010 to 2015 and ended in a difficult split over vision, values, and culture. Even so, that chapter deepened his work in the RIA space and introduced him to clients and colleagues he values to this day, a reminder that even partnerships that end can create lasting good.
KEY INSIGHTS:
The personal and cultural due diligence matters most and gets skipped most. Even when you already know someone well, you still need an honest conversation about this specific venture, your shared vision and values, and your goals and timelines.
Partnerships evolve because the business, the people, and the market all change. Following where clients and the market lead is usually smart, but that evolution can pull one partner into alignment with a new direction while leaving the other behind, even when they started out aligned.
The agreement is a roadmap, not a guarantee. An operating agreement or shareholders agreement can set the methodology for a split or buyout, but whether partners actually stay together comes down to trust, respect, communication, and a willingness to evolve.
Litigation is rarely the best way to separate. The damage to the business, clients, and employee retention often means everybody loses, and the opportunity cost of the distraction is something people almost never calculate.
A partnership is one deal type among many. Go in eyes wide open, get as clear an agreement as possible upfront when you cannot yet know who it will affect, and keep checking whether the partnership stays in alignment and integrity for you.
Perfect for entrepreneurs weighing a partnership, founders navigating a separation, and anyone who wants to structure the deal before there is anything to fight about.
FOR MORE ON THIS EPISODE:
https://www.coreykupfer.com/blog/businesspartnerships
FOR MORE ON COREY KUPFER:
https://www.linkedin.com/in/coreykupfer/
https://www.coreykupfer.com/
Corey Kupfer is an expert strategist, negotiator, and dealmaker. He has more than 35 years of professional deal-making and negotiating experience. Corey is a successful entrepreneur, attorney, consultant, author, and professional speaker. He is deeply passionate about deal-driven growth. He is also the creator and host of the DealQuest Podcast.
Get deal-ready with the DealQuest Podcast with Corey Kupfer, where like-minded entrepreneurs and business leaders converge, share insights and challenges, and success stories. Equip yourself with the tools, resources, and support necessary to navigate the complex yet rewarding world of dealmaking. Dive into the world of deal-driven growth today!
Episode Highlights with Timestamps
[00:00] - Why business partnerships are often the first deal an entrepreneur ever does
[03:28] - The due diligence you owe yourself, even with friends and family
[07:33] - How partnerships and the people in them grow apart over time
[09:20] - A PR firm buyout and an operator versus developer split, when growing apart is nobody's fault
[13:44] - Corey's own partnerships, from a 1990s law firm to real estate with Dan to the 2010 to 2015 split
[19:46] - Why no employee ever matches an owner's commitment, and why it can still feel good to be the only decision maker
[23:32] - Building a clear agreement on decisions, economics, and the what ifs
[25:57] - Separating well, opportunity cost, and the CPR process from Authentic Negotiating
Host Bio
Corey Kupfer is an expert strategist, negotiator, and dealmaker with more than 35 years of professional deal-making and negotiating experience. He is an entrepreneur, attorney, consultant, author of Authentic Negotiating, and professional speaker whose firm helps clients structure business partnerships, joint ventures, mergers and acquisitions, and capital raises. He is the creator and host of the DealQuest Podcast.
Related Episodes
Episode 351 - Solocast 77: A solocast breaking down joint ventures, strategic alliances, and the exit provisions that work like a partnership prenup.
Episode 336 - Devan Gonzalez: A real world business partnership where the partners set up a clear conversation to keep friendship and business separate.
Episode 366 - Jodi Hume: The emotional dimensions of exits and the decisions founders face when it is time to move on.
Keywords/Tags
business partnerships, partnership due diligence, vision and values alignment, operating agreement, shareholders agreement, buyout, negotiated exit, partnership separation, opportunity cost, mediation, authentic negotiating, CPR framework, entrepreneurship, deal-driven growth, DealQuest Podcast, Corey Kupfer
