How Do You Deal With a Selfish Business Partner?

The best way to deal with a selfish partner is to give them the attention they crave but not struggle for power. Then, propose creative solutions and boundaries that benefit the business and all partners.

Bad Partnership Example

Beth has always known that her business partner Joe is a narcissist. Since starting their advertising firm in Los Angeles called Kustom Ads, Joe has placed himself on a pedestal. Joe made sure that his name and face adorned all of Kustom Ads’ signs and banners and is obsessed with success. While Jack’s attitude sometimes rubs Beth the wrong way, she cannot argue with Jack’s role in the rapid climb of their firm.

She hesitates whenever Beth considers talking to Joe about his superiority complex or even leaving the firm. After all, in two short years, Kustom Ads has risen to the top of the advertising scene in LA through winning contracts with top clients, and much of this is Jack’s doing. Jack is excellent at making deals. He is charming and convincing and will rarely take no for an answer. Also, his confidence is contagious, putting clients at ease instantly. So how can Beth leave a partner with so much natural talent?

On the flip side, Joe is often difficult to share an office with. He constantly thinks he is right and does not take criticism well. To Beth, it often seems that he considers her ideas of lesser value. Plus, Joe dominates any media coverage. Many outsiders think of Joe as the company head and Beth as an employee, but their partnership agreement stipulates that they are equal partners in every way.

The final straw for Beth occurs when Joe schedules an interview with LA Magazine and does not tell her. The next day, Beth arrives at the office to find Joe’s face on the magazine cover. Joe is in the office meeting with a new client, of which Beth was unaware. When Beth walks in to join the meeting, Joe ignores her. When Beth tries to volunteer a few new ideas, the client is intrigued, but Joe shuts Beth down because “his ideas are better.”

After the meeting, Joe happily tells Beth that the client wants to sign with their firm. Joe does not see a problem and is oblivious to Beth’s mix of anger and resentment. When he leaves for lunch, Beth sits at her desk: what is her next move? Can she learn to live with Joe’s narcissism, or does she terminate the partnership and turn her back on Kustom Ads’ now lucrative business?

Working alongside a narcissist can be a challenge unlike any other. People with narcissistic personalities can also drain their co-worker’s energy and damage the company. Typically, selfish business partners are solely focused on their success. This philosophy makes them place themselves above the company, sometimes in danger of violating their fiduciary duty. Often, selfish business partners think that their perspective is not only the only view but the best way to do business. When a business partner is not open to their partners’ perspectives, this leads to animosity and disagreements.

However, business partners who exhibit selfish behavior can also be a boon to business. Surprisingly, narcissists can be excellent leaders. Their confidence can often carry them through, even when their abilities or attitudes falter. Narcissists also sometimes possess inherent skills in negotiation, and their strong sense of ambition and quest for power can help bring their companies to the top.

Is it possible for business partners to continue to work with their selfish counterparts? Of course, but, even more importantly, can partners harness their narcissistic partners’ skills and use them for company success? Or, do selfish business partners simply do too much damage to companies?

This article will outline the optimal way to deal with selfish business partners. While these narcissistic leaders can be difficult to tolerate, they can also become excellent leaders. We will show individuals how to work with the needs of selfish partners while acknowledging their negative traits.

There is a path to success, even if one of the partners is overwhelmingly selfish. So let’s discuss these successful strategies so that concerned business partners can figure out their next move.

Do Narcissists Make Good Business Partners?

Many experts compare business partnerships to other relationships, such as marriages. Although this might seem like a stretch, business partnerships require many of the same attributes, including commitment, understanding, and trust.

In successful business partnerships, partners allow each other’s skills to develop and grow. These skills should complement each other, allowing the company to embody its greatest potential. However, when one business partner is inherently selfish, this personality trait can sometimes doom the business.

Even promising partnerships fail. Since partnerships are built on human relationships, they can become unpredictable, even volatile. People often change, and their behavior changes. Sudden success and wealth can also corrupt partners and poison a partnership. When narcissism enters the picture, the chances of conflict and failure rise.

However, narcissism is a relatively common trait among business people, so it is important to learn how to cope with a selfish partner and that it is possible to succeed despite difficult relationships within the company.

Research tells us that over half of all business partnerships do not last, and this failure rate rises when one partner is full of themselves. It is difficult to deal with a partner who is a “know-it-all,” a person who assumes they are constantly correct and holds themselves above everyone else. However, companies with selfish partners succeed every day. So how can individuals help their companies succeed, even in the presence of a narcissist?

What Are Narcissistic Traits?

Selfish individuals are usually easy to identify. However, it can be a little more difficult when the narcissistic individual is a business partner. This difficulty occurs because many traits valued in the business world overlap with narcissistic tendencies.

Selfish business partners often:

Assume their perspective is correct
Think that their ideas are the best, even when proven otherwise
Assume they are entitled to special conditions or treatment
Obey self-imposed, rigid guidelines
Seek out attention and recognition constantly
Do not take criticism well

These personality traits exist on a spectrum, meaning that not all selfish partners will possess all of these. Some partners, for example, will be extremely selfish and self-motivated, while others might show selfish tendencies in some areas and not others.

For example, Zach is one of the top lawyers at his firm. Since Zach sees the firm as an extension of himself, he respects his fiduciary duty and does not place himself above the business.

However, Zach’s selfishness manifests itself in his extreme sense of ego. He speaks over others in meetings and doesn’t listen to the other partners. Zach always wants attention from the media and often speaks to the press far more than a lawyer should. At times, his goal seems to be to get his face on the cover of every magazine. Zach is also obsessed with the optics of fancy clothes and expensive cars, often at the expense of his clients.

However, Zach’s talent as a lawyer and confidence have helped make the firm one of the best in California. Though his partners find his personality overbearing at times, they recognize that Zach’s narcissism is part of what makes him such an effective lawyer. Plus, Zach recognizes these traits in himself and is working with a therapist to improve as a person.

Narcissism, therefore, is not a rigid personality trait. Instead, it is a collection of traits that make up a personality disorder. Some business partners are overconfident, while others are downright abusive. Many selfish business partners will do whatever the situation requires to reach their goals. When these goals align with company objectives, this can help the business.

Selfishness is not uncommon. In fact, research tells us that more than 5% of the entire US population falls into the narcissism category. However, before we label narcissists as unproductive or remove them from our companies altogether, let’s go over how selfishness can be synonymous with leadership.

What Are Selfish Leadership Traits?

Many entrepreneurs or partners are unsure whether their business partners are simply determined and motivated or if they are narcissists. There is a fine line between business partners who sacrifice nearly everything to be on top and those who display selfish tendencies.

One thing that makes this distinction even more of a challenge is that many selfish business partners are successful. Some of the very factors that make people narcissists, such as extreme confidence, lead to personal success and success for the entire company. Sometimes, partners will tolerate selfishness when the profits are rolling in, and business is booming.

Positive Traits of Narcissists

Often, narcissists are charming and great at communicating with people. They make shrewd deals and are excellent at getting what they want, allowing them to climb the corporate ladder. Selfish business partners usually find that many of their co-workers want to work with them because they recognize their power, even if it is self-manifested and illusory. Sometimes partners are even intimidated by the narcissist or even scared. However, these qualities help many narcissists assume leadership positions. Many company presidents, CEOs, and COOs are naturally selfish, to varying extents.

Sometimes narcissists can help businesses thrive. When surrounded by individuals with high self-esteem, for example, selfish partners can motivate partners with their leadership traits. Selfish partners can also positively impact the business as a whole, especially those narcissists whose personalities range lower on the spectrum.

Narcissists’ Negative Traits

On the flip side, selfish business partners can damage the company rapidly. Narcissists can alienate other partners and employees and cause the business to break into rival factions. Selfish business partners often create interpersonal conflicts, as they will attempt to silence or crush anyone who stands in their way. These powerfully negative qualities are important to keep an eye out for and include:

Manipulative and exploitative behavior
Using power to convince others that their views are wrong
Devaluing other workers’ contributions and thoughts
Making excuses for mistakes instead of owning up to them
Causing disagreements and engaging in arguments
Refusing to end conflicts until they “win.”
Treating employees and people who work beneath them without respect
Causing their peers to develop insecurities, including low self-esteem, which impacts workflow
Contributing to burnout with their never-ending quest for greatness
Abusive behavior can include crimes and harassment

Not all selfish business partners have poor intentions. Some partners inherit selfish genes or have a strong moral sense while making selfish choices. It is unfair to negatively characterize every individual who commits selfish acts as a narcissist and suggest that all selfish business partners doom the company. Some of the helpful traits of selfish business partners include:

Determination and unique skills
The ability to deal with urgent and unpredictable issues in the office
The tendency to set striving goals and launch bold new projects
Vision for the future
Self-motivation
Independence
Charisma

Ultimately, selfish business partners present pros and cons. They also cannot be generalized as a specific “type” of individual since a broad spectrum of narcissism exists.

When the other partners recognize that one business partner routinely acts selfishly, we recommend speaking with them calmly. Sometimes selfish actions are a one-time thing, motivated by personal issues or self-imposed pressures. However, it is time for honest communication if the narcissistic partner is inherently selfish.

Instead of trying to change the person, why not ask them what they want to accomplish and what would make work easier for them? It may be difficult, but if the person is important to the company, try to avoid confrontation and embrace compromise. Often, selfish people know their behavior is wrong but cannot change it. Instead, give them the benefit of the doubt whenever possible, and speak to other partners about their experiences dealing with narcissism in the workplace and in life.

Here are a few suggestions for dealing directly with a selfish business partner.

Draft a Convincing and Complete Partnership Agreement

When business partners come together to form a business, they form a legal relationship. Business partners share both operations of the company and ownership of the company. When one of the partners is extremely selfish, this can quickly create disharmony in the ownership and operation of the business.

Since business partners share ownership of the business, they also share profits and losses. While corporations are viewed as separate entities from owners, business partnerships are not.

When the partners form the company, they usually sign a written Partnership Agreement that outlines the business’ organization, structure, and partners’ duties.

While not all partners are aware of a partner’s narcissism when forming the business, often business partners are familiar with each other. When individuals recognize that one partner is a narcissist, one of the best things to do is to draft a partnership agreement that reflects the impending personality conflict. But how can the partners set up the agreement that way?

When one partner is selfish, ensure that the agreement is clear about which partners are responsible for what duties and responsibilities. The agreement should also be clear about the recognized authority of each partner. The document should also express the division of profits and losses and how much of the company each partner owns. Plus, the agreement should clarify the partners’ contributions to the company.

Partners should also consider minor details, such as allotted sick days and vacation time when crafting the agreement. Partners should also include:

How to terminate the business if things fall apart
What happens if one or more partners refuse to compromise
Who will be responsible for dealing with vendors
Who will handle the books
Who will supervise employees

This list could go on, depending on the format of the company. The idea is that partners’ roles should be clearly defined, so everyone knows what to do if a problem occurs with a selfish business partner.

For example, if the narcissist in the partnership suddenly demands a higher ownership percentage and cannot be convinced otherwise, partners can turn to the original agreement they signed. Like it or not, all partners are bound by the partnership agreement.

Partnership agreements are essential for various reasons, but in this case, they are vital for avoiding future conflicts. For example, one partner decides that the business is “beneath them” and stops working. The other partners can turn to the provisions in the agreement for help in dealing with the resulting personality conflict.

Do Not Take A Partner’s Selfish Actions to Heart

It can be difficult not to take a partner’s selfish actions personally. When confronted with a selfish and abusive individual, many individuals lash out. Others do the opposite and retreat.

Selfish people sometimes overrule the other partners’ decisions or try to control the entire office, firm, or company. This behavior can be not only invasive but feel targeted at specific people.

However, the goal for partners when dealing with this situation should be to take a deep breath and then try to communicate honestly. Often, selfish people cannot be changed or refuse to see other perspectives. Selfish people often divert blame and refuse to be considered culpable for their actions.

Instead, seek out honest communication and compromise. Engage in productive dialogue, listen to the selfish partner’s concerns, and voice your own.

Of course, if the selfish partner’s behavior is abusive, neglectful, or criminal, the issue may be impossible to overcome. If a selfish business partner abuses another partner, that partner should contact an employment attorney and possibly take legal action. It is a good idea to attempt to be understanding, but no one can tolerate abuse.

Communicate Honestly and Directly

A narcissistic individual will always place their interests before those of others. When partners are offended, they often lose their ability to see the other side of the coin. Even if the selfish partner’s behavior is egregious, the other partners must attempt to understand their perspective.

Here are a few tips for engaging in productive dialogue with a selfish company partner:

Treat the conversation not as a casual chat but as a business transaction
Remove emotion from the equation; focus on what is good for the business
Suggestions are based on dialogue and not one-sided
Examine different perspectives
Listen to the partner who is the “problem.”
Remain open that the other partners might be part of the “problem.”
Ask questions, do not simply instruct or offer a rehearsed speech
Focus on a collaborative conclusion
Document everything
Consider using a mediator
Consider contacting an attorney for help before the meeting
Avoid trying to “fix” the selfish partner
Identify any instances of abusive, inappropriate, or criminal behavior and behave accordingly
Seek resolution before the end of the meeting

A Note on Fiduciary Duty

Partners breach their fiduciary duties when they do what is best for themselves instead of doing what is best for the company first. When business partners come together to form a company, they pledge that the business comes first, and the partnership document reflects this idea.

Sometimes, however, selfish business partners place themselves first. When partners do so, usually, their actions are bad for the company as a whole.

Just like breaching a contract, violating one’s fiduciary duty when involved in a contract is a serious offense and can be grounds for company dismissal. In addition, breaching fiduciary duty typically harms the business and partner relationships. Therefore, ensure that the errant partner is aware of their fiduciary duty at all times.

Nakase Wade Can Help Business Partners Deal with Interpersonal Conflict

Let’s face it: running a successful partnership in any industry is not easy. Partnerships rely on human personalities and relationships, and people are unpredictable.

While dealing with a selfish business partner is rarely easy, we hope this article has helped provide useful strategies for coping with narcissism in the office.

At Nakase Wade, our California business lawyers and corporate attorneys have advised many business partners dealing with adversity and personality conflicts in the office. We are happy to help, so please contact us for a free consultation today.

5 Businesses That Have the Highest Success Rate for Profits

Top 5 business most likely to succeed and profits backed up by data.

Types of Businesses That Often Fails

Many entrepreneurs, about two-thirds, never start their businesses due to fear of failure. This article will highlight businesses with both high and low failure rates, guiding you toward a more promising venture.

What is NAICS code for small business

NAICS codes determine if your company qualifies as a small business for federal contracts, based on specific size standards. The SBA uses these codes for statistical analysis and opportunity identification, essential for GSA contractors.

Do you need a business license to sell on Shopify

Selling on Shopify often doesn't require a business license, but there are exceptions based on earnings, regulated inventory, and specific product types. Understanding tax obligations, including sales tax and nexus, is crucial for Shopify sellers, regardless of business structure.

Do you need a license to start a business

Obtain the necessary licenses for your business in California, ensuring compliance with state, local, and possibly federal regulations. Simplify the process with guidance on where and how to apply, tailoring to your business needs and location.

How to get a seller’s permit in California

Gain the ability to sell in California with a crucial seller's permit, applicable to many businesses. Secure your permit easily through the CDTFA, with no cost for application, enhancing your operational compliance.

Transfer LLC to another state

Navigate the complexities of moving your LLC to another state with insights on dissolution, domestication, and foreign registration. Ensure a smooth transition by understanding the tax, legal, and procedural implications.

Articles of organization vs Operating agreement

Navigate the essentials of starting an LLC with our breakdown of Articles of Organization versus operating agreements. Understand the necessity, benefits, and filing process for both to ensure your business's legal foundation.

Anonymous LLC States

Unlock the benefits of privacy and asset protection with an anonymous LLC in states like Wyoming, Delaware, Nevada, and New Mexico. Ensure your business advantages while maintaining owner anonymity and confidentiality.

LLC Tax Deductions

Maximize your LLC's tax benefits with our guide on essential tax deductions. From home office expenses to vehicle costs, ensure you're not missing out on valuable savings.

SS4 instructions: Simple step by step

Get your EIN by completing IRS Form SS-4 with our simple guide, highlighting the importance and steps for business tax purposes. Avoid common pitfalls and ensure accuracy in your application process for smoother IRS filings.

What should I name my LLC

Learn how to choose the perfect LLC name that meets legal requirements and resonates with your brand in our step-by-step guide. Discover tips for brainstorming, checking availability, and securing your LLC name.

How to start a freelance business

Learn how to overcome initial doubts and launch a successful freelance business with steps from goal setting to client acquisition. Discover strategies for selecting profitable niches, branding, and pricing to kickstart your freelance career.

Start a Business with $5000

Discover how to start your own business with just $5,000, turning your tax refund or small savings into a long-term investment. Explore viable startup ideas from online tutoring to real estate entrepreneurship within a budget.

Sue for breach of contract

Understand the legal standing of both written and oral contracts, including the ability to sue for breach. Learn the significance of documentation and the challenges of proving verbal agreements in court.

Owning a store checklist for business owner

Discover the essential checklist for aspiring retail store owners, focusing on meticulous planning and relationship building over mere sales. Learn the crucial aspects of POS systems, hiring, marketing, and financial metrics for a successful start.

Types of Businessman

Explore the diverse world of entrepreneurship and the vital skills needed to thrive as a businessman in 2024, including understanding different entrepreneur types. Learn how to navigate the entrepreneurial journey, from digital ventures to lifestyle businesses, and transform from a wantrepreneur to a successful entrepreneur.

How to pitch a business

Master the art of pitching your business idea with strategies to captivate potential investors and secure funding. Learn the essentials of a compelling pitch to transform your vision into reality.

How to start a wine bar

Discover the essentials of starting a unique wine bar, from choosing a compelling theme to designing a captivating space. Learn strategies to attract the ideal clientele and create a thriving wine bar.

Where can I advertise my business for free

Leverage the power of free advertising to boost your business's visibility and engage a wider audience without breaking the bank. Discover practical strategies for cost-effective brand promotion.

What Causes a Recession?

Recessions are characterized by decreases in output and employment. In hard times, the economy is affected by wars, pandemics, rising prices and oversupply.

Recession: Definition, Causes, Examples and FAQs

Recession is used to signify a slowdown in general economic activity. They are officially recognized after two consecutive quarters of negative GDP growth rates.

How to Survive a Recession

The key to surviving a recession is reducing your expenses, working hard, and staying calm. During a recession, you should avoid buying things you don't need.

What Is the Definition of a Recession?

A recession is a significant decline in economic activity that lasts longer than a few months. A recession begins when the economy reaches a peak of activity and ends when the economy reaches its trough.

How Long Does a Recession Last?

Recessions over the last half a century have ranged from 18 months to just 2 months. The Great Recession of 2007-2009 lasted 18 months and the COVID-19 recession of 2020 only lasted two months.

How to Prepare for a Recession

Preparing for a recession comes down to using strong economic times to your benefit. Focus on limiting your spending, forming a budget, building an emergency fund and eliminating high-interest debts.

When Was the Last Recession?

According to the U.S. National Bureau of Economic Research the last recession began in December 2007 and ended in June 2009. Although the recession ended in June 2009, but economic weakness persisted.

What is zero-based budgeting?

Zero-based budgeting is a budgeting process where you allocate every penny of your monthly income toward expenses, savings and debt payments.

Skills for Success: 7 Skills to Succeed for Work, Business, and Personal Life

Learn 7 simple skills to succeed in your in your personal life and at work. For example, effective communication is an important skill for success because it helps you convey ideas and collaborate with others.

What Does Net Profit Mean In Business?

Net profit is the amount of money your business earns after deducting the total expense such as operating costs, interest, and tax expenses from the company's total total revenue. In simple terms, net profit is total money earned subtracted by total business expenses.

See all articles: Business | Corporate | Employment

1,584

How Do You Deal With a Selfish Business Partner?

Bad Partnership Example

Do Narcissists Make Good Business Partners?

What Are Selfish Leadership Traits?

Nakase Wade Can Help Business Partners Deal with Interpersonal Conflict

Free Consultation