How to use SBEP

Wrong Partnership
Business Leader & Licentiate

Two friends worked at the organization as employees. Once they decided to start their own joint business as companions on equal principles. Startup capital of their enterprise was small. They started business in the field of wholesale trade and small transportation. The level of competition in these fields was average. The company hired two employees. Within two years the company was making a small profit and then its financial position began to aggravate though the partners tried various ways of running their business.

They applied for consultation when the position of the company became critical and relations of the companions got tense. Business types of the both businessmen were determined by SBEP test. It turned out that one of them refereed to the type of a Business-Leader and the other - to the type of a Licentiate. The descriptions of these types in SBEP test do not specify such a partnership as favorable for business. With such combination of the business types, the partners' entrepreneurial qualities don't complement each other.
 Entrepreneurial quotient of the companions was assessed afterwards according to NML test. It turned out to be rather high for both partners ( +27 points with one partner and +15 points with the other). The recommendations of NML test in this case are the following:
"your background, skills and talents give you excellent chances for success in your own business. You should go far."
But as we saw their enterprise wasn't successful. The wrong partnership was responsible for this failure.

We advised them not to go on with their partnership, but to run two separate businesses fitting their business types. They proceeded their further business according to this scenario. The Licentiate expanded his small transportation service and works independently. The Business-Leader purchased a store and is gradually expanding his business. He works together with a partner whose business type is an Executive Manager and who has a smaller share in the business. Such a partnership according to the description of the business types in SBEP is often favorable for a Business-Leader.

Both former partners have been running their businesses steadily for already 4 years since they parted. They didn't reach a tremendous financial success, but their businesses give them profit sufficient for a good level of life.


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