Have you ever thought about starting a business with your bestie? You’re not alone! In fact, our research shows that friendpreneurship is hot right now, with 42% of people around the world saying they’re extremely or somewhat likely to start a business with a friend and 57% indicating they have discussed the idea with a friend.
To explore this rising phenomenon, we used a third-party survey tool—Centiment—to ask 6,000 consumers in the United States, United Kingdom, Mexico, Brazil, Korea, and Japan a range of questions related to the theme of friendpreneurship.
Here’s what we found.
Latin Americans most likely to do business with friends
In Latin America, a whopping 66% of people say they are extremely or somewhat likely to consider running a business with a friend.
In Asia, the number of people who would consider running a business with a friend is a close second to Latin America at 62%.
And 70% of folks in the U.S. and UK say their best friend would make a good business partner.
Co-founders and friendpreneurs: The perfect match
When we asked folks which type of entrepreneurship relationship they think would be the most successful—solopreneur, co-founders, friendpreneur, familypreneur, or couplepreneur—Latin America again proved to be the bestie-est of the bunch, with friendpreneur squarely at the top. The U.S., UK and Asia felt the co-founder dynamic was more likely to succeed. And Korea stood out from the pack as the only country surveyed to pick solopreneur as the most promising option.
Respondents from every country made their feelings known about going into business with a romantic partner or family members! Every country rated these types of relationships least successful–except Mexico who felt the solopreneur route was the least likely to turn out well.
Restaurants and cafes come out on top
When it comes to the type of business people would be most interested in running with friends, a restaurant or cafe was the top choice for 31% of people globally, while only 10% said a pet grooming business was their ultimate jam.
In Mexico and Brazil however, people were far more interested in teaming up with a bestie to start a clothing and retail or technology business, pointing to a strong belief in the potential for innovation and market demand in clothing, retail, and technology within these countries.
Generational divide in friendpreneurship
Across the board, Gen Z and Millennials were the most likely to consider running a bestie business while Boomers were the least likely.
Gen Z and Millennials were the most likely to see their best friend as a good business partner in both the U.S. and the UK. The same is true for Latin America and Japan, with Korea’s Gen X showing slightly more faith in their besties than Gen Z and Millennials.
Trust wins across generations and cultures
Trustworthiness proved to be the most important quality in a business partner across the globe and all generations. A strong work ethic and a positive attitude were also critical everywhere for people of all ages, with communication skills also making the top of the list in Japan, and creativity in Korea and Brazil.
Finances fuel fear of friendpreneurship
Like anything in life, running a business with your bestie has its positives and negatives. According to our research, established trust was the #1 benefit to running a bestie business everywhere except Korea, where having complementary skills was deemed most important.
Good communication, a shared workload, and shared vision and values also topped the list of biggest benefits across the globe.
When it comes to the potential disadvantages of running a business with a friend, disagreements over finances was a top concern for all countries. Fear of ruining the relationship was also high on the list for the U.S., UK, Brazil, and Korea. Respondents in Mexico and Japan were more concerned about handling conflict. This makes sense as both countries are known to be conflict avoidant.
How to make your friendpreneurship work
Set clear expectations
Define each person’s roles and responsibilities to avoid overlap and misunderstandings. Regular meetings are essential for discussing progress, addressing challenges, and making sure everyone is aligned with the business goals.
Make a plan
Develop a detailed business plan that includes market research, a business model, marketing strategies, and financial projections. Ensure all partners contribute to and agree on the business plan, aligning everyone with the same vision and goals.
Establish performance metrics and regularly evaluate the business’s progress against these metrics. And always be open to adapting and pivoting the business strategy based on performance and market feedback.
Communicate with empathy
Effective communication is the foundation of any successful partnership, and communicating with empathy ensures that all partners feel understood and valued. Active listening, recognizing and validating each other's feelings, and responding thoughtfully to concerns and ideas foster a supportive environment. By prioritizing empathy, partners can navigate difficult conversations with respect and compassion, leading to stronger, more trusting relationships.
Establish a process for conflict resolution early on
This might include regular feedback sessions or involving a neutral third party if necessary. Documenting all decisions, agreements, and plans in writing helps prevent misunderstandings and provides a reference point. Utilize project management tools and communication platforms to keep everyone informed and organized.
Create clear financial boundaries
When it comes to finances, it’s important to establish clear financial boundaries by keeping personal and business finances separate. Creating a detailed budget and financial plan, including startup costs, ongoing expenses, and revenue projections, will provide a clear financial roadmap.
Assign one person to manage finances to ensure all transactions are recorded and tracked accurately, and conduct regular financial reviews to assess the business’s financial health.
Further, an open book policy where all partners can view financial records fosters trust and transparency. Agree on how profits will be shared among partners and document this in a formal agreement.
Lean into your strengths
Leveraging each other’s strengths is equally key to a successful partnership. Conduct a skills assessment to identify each person’s strengths and areas of expertise, and assign roles based on these strengths to ensure each aspect of the business is managed by the most qualified person.
Encourage continuous learning and skill development to keep up with industry trends and improve the business. Cross-train each other in different areas to ensure everyone has a basic understanding of all business functions. Promote a collaborative environment where everyone’s ideas and contributions are valued, and ensure a balance of skills and support each other in areas where one might be weaker.
Make it legal
Although legality might feel a little out of place between friends, creating a formal partnership agreement is super important to keeping the peace. This legal framework should outline roles, responsibilities, financial contributions, profit sharing, and exit strategies. Consulting a lawyer can ensure the agreement is legally binding and comprehensive.
Are you team business besties? Here’s how Photoroom can help!
Starting a company with a friend can be scary but incredibly rewarding. You'll have someone you trust and enjoy working with by your side, making the journey more fun and collaborative.
Photoroom can help you collaborate easily with anyone, anywhere, anytime. Use our mobile and web apps to create stunning social media and website content, build your brand, and boost engagement, and sales.
Sign up for Photoroom Pro and invite up to two friends to your team to enjoy Pro benefits for free!
Create your team today.
Asking for a friend
Got questions about starting a business with your friend? Or need more info on creating teams with Photoroom? We’ve got you (and your bestie) covered. Everything you need to know is right here on Photoroom for Friends.
