As a business owner, your most important growth assets are your ties to other businesses. Burning bridges in the business world can do more than just haunt you: it can actively hurt you.
So how do you avoid that? One of the best things you can do is figure out a non-invasive way to resolve your disputes.
FINRA discusses some of the most popular methods of dispute resolution. Alternatives to litigation often mention both arbitration and mediation, both of which have numerous benefits that business owners enjoy.
First, you have arbitration. This serves as the option most similar to litigation without actually getting involved in the court system. Through arbitration, you rely on an arbitrator to oversee your case. They will listen to the evidence, testimony and questioning, and then make a decision that all parties must legally abide by.
Mediation works best for people who feel they can already work out their problems alone and simply need a little extra help. A mediator does not have the authority that an arbitrator does, and they cannot make binding decisions. They can, however, offer their opinions and viewpoints while ensuring that all parties have a say.
The benefit of these options? You avoid the expenses and time sink of a court battle. You also avoid the airing of your dirty laundry, as all court cases get recorded and are open for public perusal. Taking these steps can ensure you reduce the amount of bad blood that you and your business ties have toward each other, which can save the relationship.