Why Partnerships Fail Before They Even Begin

Why do Partnerships Fail?

Partnerships and alliances can be one of the most powerful ways to grow your business, but only if you enter them for the right reasons.

Far too often, companies jump into partnerships without a clear strategic rationale. They get swept up by the excitement of an attractive proposal, good personal chemistry with the other party, or simply a vague sense that “we should do something together”.

But without a well-defined reason for partnering, one that’s aligned with your company’s purpose and strategy, is often why partnerships fail.

Start with Why

Simon Sinek’s book Start with Why offers a simple but powerful framework that applies just as well to partnerships as it does to organisations as a whole.

Sinek describes three concentric circles:
– At the centre is the why: the purpose, cause, or belief that drives you.
– Around that is the how: the process or methods you use.
– Finally, the what: the products or actions you deliver.

Highly successful organisations operate from the inside out: they start with why, which guides how they work and what they produce. Less successful organisations, by contrast, focus on what they do and how they do it, without ever clearly defining their why.

This same inside-out thinking applies to partnerships.

A partnership belongs in the “how” circle, it’s a method to achieve your goals. But even here, you must know why you’re choosing to partner instead of growing organically or acquiring. Without this clarity, you’re embarking on a journey without a destination or a map.

Build, Buy, or Partner?

When you’re looking to grow, you generally have three options:
– Build internally
– Buy (through acquisition)
– Partner with another organisation

The choice between these options should always be strategic , informed by your company’s mission, vision, and objectives.

Even if you’re a solo entrepreneur who doesn’t use the word “strategy”, you still have a mission, a reason for being in business. Every growth decision you make should align with that mission.

Whenever you’re evaluating a partnership opportunity, ask yourself:
– Is this the best path for our growth?
– Does this alliance strengthen or distract from our mission?
– Are we clear on what success looks like in this partnership?

If you can’t answer these questions with confidence, it’s worth stepping back and re-examining the foundation.

Common Pitfalls

One of the most common mistakes why partnerships fail is when partnerships are formed simply because the proposal looked attractive or the people involved got along well. Those are not strategic reasons.

When the excitement wears off, the lack of alignment becomes painfully clear and what began as an opportunity often turns into a burden.

Clarity about your why is not just a nice-to-have. It’s what enables you to choose the right partners, set realistic expectations, and create value that actually supports your growth.

How to Get Clear

In Module 1 of my Partnerships for Profit programme, we focus entirely on this topic: helping you get clarity on your reasons for partnering and equipping you with tools to assess whether a partnership is the right choice and if so, how to approach it properly.

If you’re thinking about entering a partnership, or are already in one but questioning whether it’s working, now is the time to revisit the basics.

Clarity now saves pain later.

You can find more details about the Partnerships for Profit programme here: Start turning your partnerships into profit