Considering partnering: seeking advice
Brandon Fuller
6 replies
I'm facing a potentially game-changing decision for my business, and I'd love to get your insights and advice.
I've been approached by someone I have a solid business relationship with. They're a seasoned sales professional and have shown impressive skills in the field. They've expressed interest in partnering with me to boost the sales side of my business, and they're quite flexible on compensation, leaning towards a commission-based arrangement.
Have any of you encountered a situation where you brought someone into your established business? What were some of the advantages and disadvantages you encountered in such a partnership?
Thank you in advance for your feedback!
Replies
Daniel Hunt@daniel_hunt4
If they are bringing in sales that wouldn't happen otherwise and that have no opportunity cost then it seems like a no-brainer to set-up some kind of commission arrangement!
The main thing would be to work out what the opportunity cost is going to be eg:
* Are they going to consume your best leads
* Will supporting those sales take up resources that would be valuable elsewhere
etc!
Share
@daniel_hunt4 Thank you for the reply! Makes sense to evaluate the cost of bringing them on. Just felt like too much of a no-brainer not to evaluate.
Launching soon!
Just do a trail setup. If its fruitful for both parties, then commit
@sentry_co I like this idea! I think I will start by offering a trial run for a bit, and just pay a commission on the sales made and make sure it's a good fit for both of us. Thank you for your feedback!
"I'm not sure how to structure a partnership agreement. Any tips?"
There are always drawbacks in adding someone to your tea, including:
- Trust
- Decision making (conflict)
- Accountability
- Compensation
You must make sure the benefits will outweigh these.
You can often grow faster with more people. Do all you can to get your first business profitable as soon as you can, then build a customer base and an audience. Once you have a large customer base and audience (I'm listing these separately on purpose), you can expand your services and promote other businesses.