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OT What should I do (business Op)

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Old 06-05-2003, 06:54 PM
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Default OT What should I do (business Op)

I was just aproached with a very interesting offer. I am not sure what I should do and I always get good insite from you guys so I figured I would shoot it out there.

I have been self employeed for almost all my life. I currently am running a high end audio/video store that is finally starting to take off and make me some money. However I was just asked if I would sell it and start up a new business with a customer of mine. He wants me to run his new AV devision of his business. He has proposed a very atractive offer and I am wondering if I should continure to investigate.

Have any of you guys been self employeed for a long time and found happiness working for others? What are your ideas?

Thanks
Jon
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Old 06-05-2003, 07:05 PM
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I haven't been in the position my self however, my father had a law practice for many years with a partner. His partner was egostistical and spent most of his time on image rather than work.

My brother owned a carpet cleaning business with a close friend. No falling out. My brother never gave the effort like his friend did and felt that it would hurt the business as well as the friendship. He bowed out.

Partnership is great if handled correctly, but get the wrong partner and all hell could break loose.

By the way, if your business is getting to a good point, enjoy it. Maybe you can find ways of partnering at arms length.
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Old 06-05-2003, 07:29 PM
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This doesn't sound like a parnership to me, rather a employee position.

I would suggest you look at your five year plan in your current business and see where you expect to be and make a five year estimate on the new offer and compare the two. Do not make the choice just based on where you will be today.

Remember, owning your own business puts you in control, whereas you are never in control working for someone else.

Good luck on whichever choice you make.
 
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Old 06-05-2003, 07:54 PM
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I've been in several partnerships and I'll never do it again. For the vast majority they DON'T WORK. If this is a partnership, think again, or better yet, consult a lawyer, they'll all say how bad they can get. If it's an employer/employee situation, you need to ascertain how viable the business is going to be because you're going to abandon all the hard work you've put into it.

On the other hand, I was in the same situation as you. I had dissolved my partnership and was on the upswing on the business end, but I chucked it in to get back into corporate life. There are benefits and drawbacks to both, but I was at the age where I needed some stability (not that corporate life is that stable anymore!!). I had some real highs and real lows during my solo career but needed to smooth out the curve. When I went back into corporate, I found that I could actually take a vacation (I took one vacation in 8 years in my own business) and the weekends were mine for the most part. Benefits were also better. In the end, I'm glad I made the jump. I learned a lot in those 8 years and it makes me a better business person now. And from what I know now, I could get back into the business if I wanted, but I have no desire at this point. Good luck and if you need some more ideas, I'd be more than happy to help.
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Old 06-05-2003, 08:00 PM
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I lost a life long friend from just that. A partnership never again.

I could never go to work for anyone ever again. 40 hours a week is just not enough time to get it all done. A boss would make me go home after 40, my wife would get sick of me, the kids would hate it, the dog would bite me, I'd end up getting divorced and give it all to my wife. Just sounds NON-cheerful to me
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Old 06-05-2003, 09:39 PM
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I agree with Too Old 100 percent. I am in that position now and not sure what to do about it
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Old 06-05-2003, 09:44 PM
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Is this the customer I met in Jan?

The following is assuming it is: Jon, you are a practitioner(sp?) by nature, and what this man will be looking for is a manager. The two are usually VERY VERY different!!! Most practitioners who get into a management role stop doing what they are good at, and start doing what they are not.

I predict you would get this division set up from an operational or technical perspective, and not be the best at managing it long term. This guy will have expectations you wont enjoy satisfying, and you two will end up parting ways, after you have established a foundation for his AV department. And it won't be that he takes advantage of you, but that he will need a different set of skills in his manager after it stops being entroupeanoural(sp!!!) and starts being corporate. I've consulted with too many businesses foundering at this key point, and usually the owner is the manager/manager, and not willing to step down as manager because of paternal emotions. In your case, the owner will be able to make the hard decision, and you'll lose.

What to do about it? Structure a arrangement where you get paid to set it up, paid to act as tech. advisor, and somehow get royalties on the division's sales even after a professional manager is brought in. You'll probably enjoy it a lot more that way.


And remember, you've got to work with this guy, so make sure he's someone you enjoy being around AND RESPECT.

If you want to talk further about this, give me a call.

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Old 06-05-2003, 09:56 PM
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Everyone has posted some good comments regarding partnerships. I'd go ahead and investigate it like you said, but think long and hard before jumping in.

Good luck Jon
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Old 06-05-2003, 10:18 PM
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if you do a partner make sure you do the proper paper work. it can be done.

if it sounds that good try it for a year. don't sell your place just hire sombody to take your spot. in a year see wear you are and then decide.

Treadwell

P.S. i did have a partner and got buried because lack of paper work. there is nothing like working for yourself. you only have to deal with yourself.
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Old 06-05-2003, 10:39 PM
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STAY ON YOUR OWN!! You can't beat being your own boss, That is unless your boss is an as#h*le . Sereously. I bought out my boss 8 years ago and it was the best thing I ever did. You make or break on your own talents, and when you make mone it's yours. Not the bosses. Thats my 2 cents.
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