Do You Have A Business Partner?

Business By 282513 Updated 19 Jun 2008 , 5:56pm by Carolynlovescake

282513 Posted 18 Jun 2008 , 2:02am
post #1 of 9

I am contemplating opening a sweet supply store. My question is, do you have a businness partner? Is there enough profit to share? I keep thinking it would be nice to have someone to share the "work" with but I am a bit of a control freak so it would be hard to share in other areas. What works best for you?

8 replies
indydebi Posted 18 Jun 2008 , 2:18am
post #2 of 9

Here's what my attorney told me:

SOMEONE has to be in charge. 50-50 deals NEVER work because you say 'yes', they say 'no' and you're at a standstill. SOMEBODY has to have the final say. SOMEBODY has to be the final authority.

What happens if your partner wants out? Can you afford to buy out her half? If not, does this mean the business is forced to be sold so partner can get her money out of it? Again, if not, can she sell her half to just anybody? Do you have any say in who she sells it to? What if she sells it to someone who you can't work with? To someone who knows nothing about your business but THINKS they do?

That's why I am a sole owner LLC. And it has worked out WONDERFULLY!!! In the beginning, I was going to put hubby on there as maybe 25% (me 75%), but since he pi$$es me off all the time, it's worked out much better that I'm the only signature needed for any decision! icon_lol.gif (I'm the entrepreneur ... he's the one huddled in the corner, wringing his hands, worrying about the sky falling ...... geesh, it gets on my last nerve! So here's our deal .... HE worries about it and while he's wringing his hands, I'm handling it and taking care of it! icon_lol.gif )

If you need help with the work, then hire a manager. If you really really REALLY want a partner, then do a lot of conversation ahead of time, and then do a lot of conversation with an attorney who specializes in partnerships.

southerncake Posted 18 Jun 2008 , 12:28pm
post #3 of 9

I agree completely with Indydebi. I didn't have a "cake partner" necessarily, but in my original storefront we had a rather unusual situation. My situation was a little different, but maybe it will give you some things to think about...

A friend of mine wanted to open a girly boutique and I wanted a place to sell my cakes and candies. We found a very reasonably priced building that was already sort of divided in half. I already had a pretty large customer base and we knew that would benefit her by drawing in customers immediately who were coming in to pick up orders, etc. In the beginning, she wanted to work every single day and make it her full-time job, so that would benefit me so that I didn't have to be there all the time.

After about two months, she was tired of working every day and already tiring of owning a business. Several times I went to take my morning deliveries for customers to come pick up and the store would be closed. She would put a note on the door that the shop was going to be closed for the day. I would call her and she would say she decided she need to go shopping or needed a day at the lake, etc.

Several times, she decided to close for a week at a time or more without consulting me. A lot of things happened without consulting me. She hired two teenage girls to work every single day through the summer so that she never had to come in. It was a disaster!

A couple of weeks before school was supposed to start and the workers were going back to school, I got a TEXT message icon_rolleyes.gif at 6 o'clock in the morning on a Wednesday letting me know that she was starting a going out of business sale that day and closing the next Saturday.

Needless to say, I couldn't keep the whole shop myself. She didn't want to sell her business to anyone, but instead just wanted to close the doors. It was awful. It really put me in such a bind to try to find a new location fast!!!

Just think really hard first. Work out every detail (and put it in writing) ahead of time. Leave very little room for questions or changes. Establish a method for deciding on changes.

If it's possible to do it on your own, do it!! Hire a great manager and train him/her to do things the way YOU want them done!

282513 Posted 18 Jun 2008 , 5:35pm
post #4 of 9

I realize that it has many disadvantages but I keep thinking that I have 4 kids (9 and under) and that sharing half of the work with someone would be ideal! After hearing the stories, a mgr would be the route to go. I have to laugh indydebi about your husband. THat is funny. Men!!!
Southerncake, that is a nightmare! Hopefully you bouced back and found a place. So sorry that happened! Are you still friends?

BrandisBaked Posted 18 Jun 2008 , 10:04pm
post #5 of 9

If I succeed or fail, it's going to be on my own terms... I'd hate to fail because I was forced to listen to someone else's ideas.

I'm much to spoiled to take advice (or crap) from anyone when it comes to my own success.

indydebi Posted 18 Jun 2008 , 10:24pm
post #6 of 9
Quote:
Originally Posted by BrandisBaked

If I succeed or fail, it's going to be on my own terms... I'd hate to fail because I was forced to listen to someone else's ideas.

I'm much to spoiled to take advice (or crap) from anyone when it comes to my own success.




YEAH!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! icon_biggrin.gif

BrandisBaked Posted 18 Jun 2008 , 10:41pm
post #7 of 9
Quote:
Originally Posted by indydebi

Quote:
Originally Posted by BrandisBaked

If I succeed or fail, it's going to be on my own terms... I'd hate to fail because I was forced to listen to someone else's ideas.

I'm much to spoiled to take advice (or crap) from anyone when it comes to my own success.



YEAH!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! icon_biggrin.gif




*Hi 5's Debi*

icon_wink.gif

southerncake Posted 19 Jun 2008 , 1:22am
post #8 of 9
Quote:
Originally Posted by 282513

I realize that it has many disadvantages but I keep thinking that I have 4 kids (9 and under) and that sharing half of the work with someone would be ideal! After hearing the stories, a mgr would be the route to go. I have to laugh indydebi about your husband. THat is funny. Men!!!
Southerncake, that is a nightmare! Hopefully you bouced back and found a place. So sorry that happened! Are you still friends?




No, we are not still friends! We didn't have a knock down drag out or anything like that, but it was qutie obvious to her that I was not happy and we went our separate ways.

And yes, things ended up working out great! We found a great spot about two weeks later and it has been the best thing that ever happened to me!!!! icon_lol.gificon_lol.gifthumbs_up.gif

Carolynlovescake Posted 19 Jun 2008 , 5:56pm
post #9 of 9

I am partnered with my husband.

He does 100% of the financial, and I do 100% of the design.

He stays out of the kitchen, I stay out of the books. I don't tell him how to do the business side of it, and he doesn't tell me how to decorate a cake.

When we shop for items we do it togeher, he for the price, I for what will work for me in the kitchen. If I have to shop online for supplies (fondant, cutters etc) I search it out and give him 3 quotes and we review it together and discuss it then I get the ok to purchase it.

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