Small businesses are just as likely as large and mid-sized companies to get involved in disputes with suppliers, customers, competing businesses, or their own business partners or employees. Taking this into account, unlike big corporations, small business owners often have limited resources within which they must deal with the conflicts. Clearly, small business dispute mediation (rather than expensive and time-consuming litigation) is an ideal way to resolve conflicts in this situation.

  Many small business owners may not realize it, but mediation also offers indirect reputational benefits. When a conflict occurs, the employees, vendors, customers, financiers, and other stakeholders may closely watch how the conflict is resolved.  Choosing mediation demonstrates the maturity, commitment and focus of the business owners in the best interests of all stakeholders and the community.  Business mediation proceedings are typically kept confidential, which protects trade secrets, product pricing, employment policies, and management strategies. Mediation does not waive the right to seek litigation if an agreement is not made, and the negotiations during mediaton are not typically admissible in future litigation. 

  Small businesses often sell goods on credit to their customers, and payment is made once the customer has received the delivery of goods. Payment terms might include 30 or 60 or 90 days credit. If the customer fails to repay the full or partial amount on due date, a dispute may arise. A seasoned small business mediator will help both the seller and the buyer share documents and facts related to the shipment, the quantity and quality of goods, and the terms of payment.  If the quality or quantity of goods is lower than what was agreed upon, the seller may offer a discount to the buyer. If the buyer has a financial difficulty in making payment, the seller may accept payment in installments. The business mediator can help both parties explore all options to meet on some common ground and settle the dispute.

  Written or verbal contract lies at the core of any business transaction between two parties. The contract contains all the terms and conditions that both sides must fulfill once the contract has been signed. Stemming from this, when one party fails to fulfill one or more conditions, a dispute may arise.  For example, in a construction or home improvement business, a dispute may arise between the builder and general contractor or the contractor and sub-contractors. Similarly, a contract dispute may occur between a manufacturer and an authorized distributor or dealer (wholesaler or retailer).  A knowledgeable mediator with experience in handling different types of small business disputes who possesses a fair understanding of how these businesses work and the typical nature of disputes that occur in the industry. The business mediator can facilitate both sides to find a resolution by arriving at a compromise because the alternative of bitter litigation that may be detrimental to their own business interests.