Navigate disputes with clarity and confidence, for better outcomes and lasting relationships
Business disputes are an unavoidable part of running a company. Yet, when handled poorly, these conflicts can escalate, consuming precious time, money, and damaging hard-won relationships. For small and medium-sized enterprises (SMEs), the stakes are especially high and unfortunately, many fall into the same costly traps. In this post, we’ll explore the five most common mistakes SMEs make during business disputes, and, crucially, how to sidestep them and avoid unnecessary stress and costs
Mistake 1: Delaying Action
It’s tempting to ignore a brewing disagreement, hoping it will blow over or resolve itself. This rarely works. Problems left unaddressed tend to fester and escalate, making eventual resolution tougher and more expensive. The key? Tackle issues head-on, but always with a clear, strategic plan. Early action, especially if it’s measured and informed, can prevent misunderstandings from snowballing into full-blown disputes.
Mistake 2: Not Understanding the Contract
All too often, SMEs rush to react without first reviewing the contract at the heart of the dispute. Overlooking key terms, obligations, or even dispute resolution clauses can put your business on the back foot. A careful, thorough review of the entire contract is vital before taking any steps. Understanding your rights and responsibilities gives you a strong foundation from which to negotiate or defend your position.
Mistake 3: Letting Emotions Drive Decisions
Business relationships can be personal, particularly among partners or directors with a long history. When a disagreement arises, emotions often run high. But allowing personal feelings or historic grievances to dictate your approach can cloud judgment and lead to decisions that hurt your business. The best outcomes come from maintaining a cool head and a clear, commercially focussed mindset, centred on protecting your interests and finding pragmatic solutions.
Mistake 4: Jumping Straight to Litigation
When talks break down, many SMEs assume court is the only avenue left. But litigation is costly, slow, and adversarial often making a bad situation worse. In reality, a range of alternatives exists: negotiation, mediation, and arbitration can all resolve disputes efficiently, while preserving valuable business relationships. Exploring these options first can save you significant time, money, and stress.
Mistake 5: Choosing the Wrong Legal Support
The legal landscape can be confusing, and not all advisors are created equal. Hourly billing, unclear advice, or a lack of real commercial understanding can leave you feeling unsupported and out of pocket. At Fair Result, we offer a fixed-fee, results-focussed approach rooted in genuine commercial experience. We speak your language, understand your challenges, and prioritise practical outcomes.
Take the Next Step
If you’re facing a business dispute, don’t navigate it alone or risk falling into these avoidable traps. Reach out to Fair Result for a no-obligation, fixed-fee discussion and discover how we can help you protect your business and move forward with confidence.
