According to Charlie Munger, 90% of success is not doing stupid stuff.
The stupidest and most dangerous thing you can do is bring in the wrong partners.
It’s hard to resist bringing in partners, especially when you’re under pressure and desperate for help.
In times like these it’s easy to override your gut feel. To quell that quiet voice in your head that is whispering, “There’s something not right about this guy.”
Here are some tell-tales for bad partners:
- He doesn’t pay attention. Maybe you’re a small fish in his big ocean, maybe he is lazy, maybe he just doesn’t care. Beware people that aren’t paying attention to you and your business. Unless he’s focused, he will not contribute. If he’s not contributing, you won’t be happy.
- Big ego. There’s a difference between self-confidence and arrogance. Avoid FIGJAM’s (Fuck I’m Good, Just Ask Me).
- He responds to the reality he wants, rather that the reality that is. Delusional fantasties of the market place only lead to one place: Bankruptcy.
- “It’s always someone else’s fault.” Anyone who doesn’t take responsibility for his own setbacks, will not take responsibility for his role in your company.
Most of the time, your gut will tell you the truth. You know he’s a bad partner, but you ignore the signs.
Don’t ignore the signs.
Stay away from bad partners.