Starting your own business can be an exciting thing, the thrill you have to be able to be your own boss, choose your own hours, and do your own thing. Things go well for quite some time and you are making good progress in making things work. But what do you think about business partners ?
Whats Best for the Business
After a few years of attempting to expand, trying to make things grow, spreading your self too thin to get everything done. Eventually you come to a realization that you just cannot get it all done yourself, you need help to help share the work load, to get hints organised or things done.
What went wrong ? There is no singular failure point, but things like, starting a business in the industry you work in is the main problem sometimes. As when things need to be done, you drop the important things and pitch in. And the. Neglect the important things that you need to do.
I fell into this trap, and ended up working redo lupus hours to ensure everything got done, and eventually you will get burnt out. Some people will not, and live to thrive off this high energy 80+ hour work week. But what is this for, you’re a hard worker, but what about social life.
I for one do not want to waste my years working hard for no or little reward. I want to enjoy time with friends, family, relaxing and having fun. That is what life is about.
So after struggling in my business, maybe from poor management, or leadership, and making little money I was about to close the doors. It was about time.
I had thought about a business partner before, but to be honest I was greedy, I didn’t have much money, and didn’t want to share what little I had with anyone. I just did not have that money to share. But after a long hard think, and about to close my doors, what else could I loose.?
Thinking if I bought someone on board what was I getting myself into ? What are they getting into? I ended up biting the bullet and posting an advert in one of the local online traders, and see what happens.
I had two replies from the advertisement. The first one was from a management company that has people in multiple areas, was not located in the same state, and wanted over $1,800.00 per month to help manage my business somehow. I had started to deal with this company who was going to provide support in areas, that needed attention from a questionnaire and information we had spoken about. Some weeks went buy I was about to sign up, and pay the first months installment when I got a call from the second person.
They had come to my office, and we began to discuss what my business is about, and what I wanted to do with my life, and where I ideally wanted the business to be. They had initially offered to go into partners with buying another business together and be partners, they would put up 2/3 and I would need to put int 1/3 of the purchase price. The business did not necessarily interest me, but the figures had. And I was interested.
What other businesses have business partners?
But I did not have any money to invest into another business. If I did I would not have been looking for a business partner. My business had debt, and it was almost insolvent. If I had any money I would be walking away and cutting my losses and go and work for someone else. The thought of that just makes me want to run for the hills.
We had talked for hours that day, and we seemed to gel really well, they understood where I was at with everything and both of our ideas were running in the same direction. They were not technically minded by any means, and today, they still are not. We decided to think about it for a week or so, when finally, I got a phone call back from them. We had made another meeting to discuss things further, and see where we could take the business, and do future business together.
What Interested me about this person is that they are the total opposite to what I am, they seem to strive to make things better (so did I), but doing this in a different way. They did the things that I wanted to do in business, but somehow I felt I was unable to do to these.
One of the first and probably the major rule in having a business partner “Business comes first and what’s best for the business”, my business partner and I live and breathe by this rule, although we may not see things eye to eye all of the time, we can respect each others strengths, and we can leverage those to ensure a successful business.
It is better to have half of something than all of nothing.
When I first started business, I wanted it all. I did not want to share, I wanted to be the next Richard Branson, or Elon Musk. And after a few years you still have that illusion, when you start to get to the 5 year mark, you start to realize how am I going to do this ? Or come to the realization that you were just not built to do it. I found myself doing all of the work for little reward, and I was stubborn to the fact that it things will change, the flood gates will open and that opportunity will come along. But it did not. I was in debt, and sinking fast.
2 Years down the track after taking on my business partner, our main business is still going strong, and we are constantly improving it and trying to make it better. We each draw a regular wage from the company, profits are up, all of the bills are paid and up to date. We have a long way to go, but I would not be here with out them. I consider my business partner my friend to a degree, but first and foremost, it is business. I do not want feelings and friendship to get in the way of a professional relationship.
I take more money now from the business than when I did when I was going things all by myself, and I am not doing as much of the work.
Key things to take away
- Business first and whats best for the business
- Respect for each other
- Open minds
- Opposite to yourself
- It is better to have half of $1,000,000 with half the work, than $500,000 and do all of the work.
- What do you want out of it
By doing this you should have a long business partner relationship, if not then it may not last. I have no regrets in taking them on board and I hope we will continue our success into the far future.