How to Explore and Invite Valuable Foreign Partnerships
Expanding a business beyond local borders is a smart move for young entrepreneurs seeking growth, innovation and sustainability. A foreign partnership can provide access to new markets, expertise, funding, and technological advancements. However, securing a valuable foreign partnership means that the cooperation does not end in a one-time investment but continues, growing with the business, even into other areas of cooperation. This type of partnership requires that the entrepreneur comes prepared. Conduct what is popularly called Due Diligence comprising indepth strategic planning, strong networking skills, accurate information about the kind of partnership you desire and a list of the companies that can offer that package. You also need to be aware of the foreign investment policies of both your country and the country of your target investors.
Here’s a breakdown of some initial steps to take when exploring or/and inviting valuable foreign partnerships:
STEP 1: Self Appraisal
First step is to be sure that your business is attractive to the foreign investors. If you have been recording losses consistently, there is no investor, local or foreign, that will be interested in putting resources into a bottomless pit. Tighten up your ship and put in the work. Seek investment only when you can prove that an injection of funds, technical expertise, expert manpower and foreign market would tremendously improve your company’s productivity.
STEP 2: Define Your Objectives and Value Proposition
When the first box is checked, it is time to do a little more homework before reaching out to potential foreign partners. Be clear on:
- What you hope to achieve (for example – market expansion, funding, technology transfer etc). A clearly defined need will help greatly in delineating the foreign investors that should be approached.
- What you offer in return (example – local market access, unique products, etc). Do not make claims that you cannot adequately substantiate, valuable investors are quick to spot verbose claims.
- Specific opportunities for growth if expected investment is received.
A well-defined value proposition makes your business attractive to potential partners.
STEP 3: Conduct Market and Partner Research
Identify the best regions and companies to target. Consider countries with favourable business policies. Your target organisations will also research on you so save yourself a little time by striking off countries that do not have good economic relations with yours – the easy way to do this is to find out if businesses from that region have ongoing partnerships with organisations in your own region.
Give precedence to companies that have complementary strength with you. If you need suppliers, then earmark manufacturing companies in the field that you seek.
Also be clear on cultural and economic factors that may impact business compatibility. Remember that your investor will also do his homework so it is preferable to detail your situation with options on navigation around any foreseeable problem. Also, check the prevailing situation in the investor’s region of operation. Review tax laws, business regulations and potential risks in the foreign market. Institutions like the Chambers of Commerce, Trade Missions & Expos, Business Directories (e.g., LinkedIn, Crunchbase), will give the basic information needed on these.
STEP 4: Build a Strong Online Presence
It is a no brainer to say that foreign partners will research you before engaging. Ensure you have: (i) A professional and updated website with clear business information. (ii) Active social media profiles showcasing your organisation’s achievements. (iii) Positive customer and industry reviews. (iv) Publications or mention in recognise journals that portray your company positively.
STEP 5: Network with International Business Communities
Join global networks and participate in trade events to meet potential partners. Some options include: International Trade Organizations (e.g., World Trade Organization events), Business Accelerators & Incubators (for example, Y Combinator, Seedstars), Bilateral Business Forums (example U.S.-Africa Business Summit). Attend conferences and exhibitions to connect with potential partners in person.
STEP 6: Leverage Government and Private Sector Support
Many governments offer programs that help local businesses secure foreign partnerships. Look into these offers because while the process may be a bit cumbersome, they get the job done. Check out the Export promotion councils, grants and trade facilitation programs, private-sector platforms like the Africa Free Trade Agreement.
STEP 7: Initiate Contact Professionally
Once you identify a potential partner, reach out formally via:
- Email with a well-structured proposal (highlight your value proposition).
- LinkedIn messages or referrals from mutual connections.
- Video meetings to establish rapport before official negotiations.
Your pitch should be clear, concise and culturally sensitive.
Final Thoughts
Foreign partnerships can transform a young entrepreneur’s business by opening doors to global markets, funding, and expertise. However, success requires strategic networking, due diligence, and strong relationship management. By following these steps, you can secure valuable foreign partnerships that drive long-term growth. Before formalizing any agreement, verify the company’s legal standing and reputation. Check references from their past business partners and engage legal and financial advisors to ensure transparency.
When negotiating terms ensure fairness and shared responsibilities. Define roles, profit-sharing, and exit strategies. Use contracts that are legally binding and internationally recognized. It’s advisable to involve legal professionals familiar with international business laws.
To build a strong partnership, promote strong communication. Schedule regular check-ins and progress meetings; use clear documentation for all agreements.
Once your partnership is successful, explore further market expansion opportunities. Innovate together by co-developing new products and investing in joint ventures.
Continuous improvement and flexibility will help your business thrive internationally.
Cheers!
Fatherhood with Ibe
IS THERE BROTHERHOOD IN BUSINESS? (Part 2)
Damola had received the worst shock of his life. Never would he have imagined that Anthony, his best and closest friend would betray him and push him into penury and bitterness.
Weeks passed, but the pain did not fade. Damola’s life spiralled. Klaus, the new owner of his business, was already making many changes. Damola was left with nothing but memories of what AD Dynamics could have been.
He tried contacting Anthony, sending countless messages that went unanswered. His family didn’t seem to know any better, even his young wife was worried sick. They all promised to contact him if they heard any news but he left them feeling even more downcast.
Images filled his memory of times in the past when Anthony had played a fast one on him but he had disregarded it. Damola had been dating a beautiful girl that he met while working with the financial company. She was a brilliant colleague and he was thinking of proposing to her but Anthony dissuaded him. He argued that they were just about to start their own venture and it was not time to build a serious relationship.
“We have to give the company our 100% attention if it is to survive.” Anthony advised and Damola bought that. But just a few months later, Anthony’s girlfriend got pregnant and while she wanted to terminate the pregnancy, saying she was not ready for motherhood, Anthony insisted she should have the baby and leave the child with him. When Damola asked how he would give the company 100% attention while taking care of a baby, he casually said he would get a trained nanny. A year later, he secretly got married to the nanny traditionally and only told Damola about it when someone else brought up the subject. The more Damola thought about their friendship, the more he remembered red flags that he’d overlooked. He was sad.
A friend advised him to hire a private investigator, but Anthony had covered his tracks well. It was as if he had vanished into thin air.
With no company and no savings, Damola was forced to move back in with his parents. Humiliated and bitter, he became a shadow of himself. His once vibrant personality was now shrouded in anger and disbelief. How could someone he considered a brother do this to him?
Friends and family advised him to move on, but Damola was consumed by the need for answers and justice. He filed a lawsuit against Anthony, but the process was slow and costly. Klaus was unwilling to help, claiming the transaction was legal and transparent.
“Your dispute is with your partner, not me,” Klaus coldly stated.
Desperate for closure, Damola kept sending out feelers to old contacts who might have information. After a few months, he got news that Anthony had been spotted in Dubai, living lavishly in a penthouse overlooking the marina. The news was like a punch to the gut. While he was drowning in debt, Anthony was living his best life. The worst blow was that he had sent for his young wife and daughter to join him in Dubai, yet his parents still pretended not to have any clue about his whereabouts.
Damola could no longer sit idle. He sold his remaining assets and flew to Dubai. Consumed by anger, he stormed into the luxury apartment building, demanding to see Anthony. The concierge was reluctant, but Damola’s persistence paid off. He was escorted to the penthouse.
The door swung open, and there he stood — Anthony, dressed in designer clothes, a glass of champagne in hand. He froze, shock flashing across his face before he regained his composure. “Damola… what brings you here?” He asked calmly.
Damola’s fists clenched.
“How could you do this to me? How could you sell me out? We were brothers!”
Anthony sighed, setting down his glass.
“Brothers? That was just business. You were too sentimental. I did what I had to do.”
The nonchalance in his voice ignited Damola’s fury.
“You betrayed me! You sold everything we worked for. You destroyed me!”
Anthony’s expression hardened.
“Let’s not get too dramatic here. I did what was best for me. You were holding me back. You never had the guts to take risks. We would’ve been stuck in that struggling company forever.” He said, the cruel words seeming to cut into Damola’s flesh.
Damola felt his world shatter again.
“All this… for money?” He asked, pain etched on his face like a drawing.
Anthony looked him in the eye. “Yes. And I’d do it again. This is the real world, Damola. Loyalty doesn’t pay the bills.”
The words stung, but they also gave Damola the closure he needed. He realized he had been loyal to a friend who never existed. The person before him was a total stranger.
Without another word, Damola turned and walked away, leaving Anthony to his wealth and emptiness.
Returning to Nigeria, Damola faced the daunting task of rebuilding his life. But this time, he was wiser. He took up consultancy work, gradually regaining his reputation. He learned to trust again but became more cautious about partnerships.
A few years later, Damola started a new company, Phoenix Solutions, named after the mythical bird that rose from its own ashes. With the lessons learned from his betrayal, he drafted a solid partnership agreement that ensured transparency and accountability.
Phoenix Solutions grew rapidly, gaining recognition for its integrity and innovation. It wasn’t long before it became a leading name in the industry.
One evening, Damola received an unexpected email. It was from Anthony. The once bold, arrogant and charismatic man was now humble, having squandered his wealth on a reckless lifestyle. He was pleading for forgiveness and a chance to rebuild their friendship.
Damola stared at the message for a long time. He felt a flicker of pity but no urge to respond. A few days later, Anthony sent another email practically begging to return to Nigeria and work with Damola even if as an employee and not a partner.
“I will use my last strength to help you build Phoenix. I am pledging my unalloyed loyalty. If not for me, please do it for the sake of my parents who love you as their own son.”
Damola almost laughed out loud. Their own son indeed! He mused.
With a hint of mischief, he told his PA to compile the reviews and awards that Phoenix had amassed so far. He packaged the images and sent to Anthony with a message.
“Your offer to help is appreciated. However, as you can see, Phoenix is doing quite well and finds your offer interesting but unnecessary. Goodbye.”
He knew that some bridges were meant to stay burnt besides, it was in Anthony’s best interest not to return to Nigeria because anytime he did, the law would still be waiting to try him.