Considering The Ending At The Beginning

At the beginning of a business venture, the parties are often focused solely on getting the enterprise up and running. However, in order to avoid unnecessary complications and possible litigation, the potential business partners should carefully consider, prior to entering into any agreements governing the relationship of the parties, what happens if one party wants to leave the business venture.

Similar to a marriage, where the parties may enter into pre-nuptial or post-nuptial agreements, the parties in a new business venture should properly consider and document the terms and conditions upon which one party may exit the venture. It is equally, if not more important, to plan on the end of the business relationship as it is to focus on the details of the beginning of the relationship.