There are many types of businesses, and sometimes, it can be hard to determine who is a true business partner and who isn't. There are two different types of relationships, an owner/manager relationship and an owner/worker relationship.
The first categories are covered entities, such as banks, accounting firms, and accounting associations. The second category are business associates, which are individuals with whom the business works. When dealing with a company, owner/manager and owner/worker relationship can become blurred. The later is when the relationship gets too far away for the business owner to feel comfortable in the presence of his business partner, or when the worker feels like he is being taken advantage of. Both parties are involved in the decision making process, but the manager will be involved in the ultimate decision. Often, when there is no manager involved, there will still be an owner, or the employees are managers, so that there is an owner/manager and owner/worker relationship. When a business owner and employee relationship are created, there may be two owners.
The second type of relationship is a business owner and employee relationship with a covered entity. If a firm is owned by a company, then the employees are considered owners, but only to a certain degree. Generally, in this case, the employees will own a portion of the firm, but not all of the ownership. In order to become an owner, the employee has to sign an ownership agreement or some other type of contract. Some firms have a separate office for this purpose. When this happens, the employees are considered owners/managers to a certain degree.
In addition to owning a firm, business owners may have another relationship with employees or a business partnership. While working on a project for a business, they become a business partner, but just like their owner, they may hold a percentage of the firm. Business partners share in the profits and losses, but they are not considered owners. In order to be an owner/manager, an employee has to be a member of the business entity.
The third type of relationship is a business owner and employee relationship with a contractor. Contractors can be very close to the business owner, but they are not considered a true business partner. They are considered a contractor, who does work for the business. for a fee and is paid a percentage of the profits of the business.
For most types of organizations, the business associate is one of the most important aspects of the overall decision making process. It is necessary to have an honest relationship with the business owner and work with the business owner to come up with solutions to the problems of the business.