Ever find yourself saying, “There has to be a better way?”
Early in my career, I cringed each time I sent a partnering contract out to a new partner candidate because I knew a battle was about to begin.
My counterpart would immediately share the agreement with his/her attorney and the redline duel would begin. Wow, what a waste of time.
Then, one of my business mentors told me to create a Term Sheet and use it as the first step in proposing a partnership. A Term Sheet is a 1-2 page document that outlines all of the major deal (business) terms that each side is offering.
This was a simple idea, but it made complete sense. If you cannot agree to the core business terms, does insurance, limitation of liability, indemnification, or any other term matter? Nope.
I’ve been sharing this GREAT time-saving tool for more than a decade now and literally hundreds of 10-20 year partnership veterans have told me they have never used a Term Sheet, but they are now.
One client earlier this year claimed their new use of Term Sheets saves their small team over 40 hours per month – that is significant.
I hope you find this helpful!