Have you considered joint ventures?

The thumbnail version:

  • What you cannot accomplish alone you may accomplish in a joint venture.

The full version:

A recent article about two sign companies who pooled their resources to undertake a contract gave rise to an interesting possibility for smaller sign shops. Smaller shops, by virtue of limited expertise or resources, are at a disadvantage when opportunities arise to undertake bigger and more lucrative jobs.

If your shop has ever had to turn down an opportunity for lack of some of the expertise or resources the job required, could it have been different if you’d considered a joint venture with another shop?

The concept makes sense but would of course need to be thought through and executed carefully. The terms and expectations of the joint venture would have to be clearly documented and then managed in a spirit of cooperation. This would mean that the joint venture partner would have to be chosen with care.

Provided a joint venture is put together properly, with all the angles considered and covered, it could be a way to participate in opportunities that you might otherwise have considered to be out of reach.