WHY do people choose to go into a business together and what are the benefits?
Couples often establish a business together, because one spouse has limited outside opportunities in the labour market.
And it’s found that starting a business together leads to significant income gains for both spouses. Both during the life of the business and post-dissolution, Starting a business together is typically a sound investment of both spouses, human capital and it has the added benefit of reducing income inequality in the household.
Co-entrepreneur wives see even higher income gains than their husbands (because they make significantly less pre- venture), the earning difference between both spouses shrinks and couple-founded companies have the potential to mitigate gender inequality.
The entrepreneur couple points out that co-entrepreneurial wives feel it’s their job to make their husbands look good. It’s often found that even if the wife is the founder of the business and her husband joins later, she may identify herself as a co-owner, rather than the founder or C.E.O of the company.
So indeed there are a lot of benefits of starting a business as a couple, it’s a major decision you’re adding in your relationship. Many co-entrepreneurs have been enormously successful through and can credit the strength of their marriages to the experience of running a business together.
Running a business as a couple can provide you with a more flexible, more trust in your business partner and greater financial rewards in the long run.
Though many may fear that working together might weaken the relationship, 60 percent of couples polled by small business consulting companies, shows that running a business together actually makes the relationship stronger and would recommend the venture to other couples.
Running a company with your spouse also provides you with a more flexible schedule than you might have if you’re working for or with anyone else.
Working together means that you can prioritize things together and come up with a schedule that works best for both your business and personal lives.
Trust is built
While trust with another business partner would normally grow through time spent running the business, partnering with your spouse means that you already have a high level of trust in each other. You share the same goals and ideas and you’re both equally interested in making the business work. There are no concerns that who you’re working with, is not aligned with your thinking.
Of course, one of the biggest motivators for both of you in running a business is making a profit and when you run the business as a team you’re both benefiting financially.
The author is women in business consultant under the name Morvac Business Consultancy. For contributions to this article. Email: firstname.lastname@example.org or contact number 0977705884