Rabbi Zamir Kohen, in many of his Thursday night classes in Tel Aviv, has mentioned that family or friends should preferably not go into business together (B"N I will find a clip of him saying so).

I've also encountered this teaching in non-Jewish sources (example 1, example 2) albeit in a slightly different wording: "money and blood don't mix". Is there a Jewish source for this teaching?

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    Judaism seems to have the opposite sayings, like ומבשרך אל תתעלם and "charity starts at home". (Though experience has shown that family or friends should not do business together.) – Danny Schoemann Oct 29 '14 at 12:49
  • I heard the opposite, that someone came to the Lubavitcher Rebbe asking if he should go in business with his father in law. The Rebbe (I can't remember the answer, but it was something close to) said why not? I work for my father-in-law and we had good relations – Shmuel Brin Oct 29 '14 at 22:02

Conjecture: The Hebrew word "damim" means both blood and money. Perhaps, because of the use of the same word for distinct definitions, this adage arose. In a sense, it is saying, separate the "blood" or "damim" of your own family which is your own flesh and blood from the other definition of "damim" - money.

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