Jump to content

Proposing to be a partner of your boss


Alvinnoob
 Share

Recommended Posts

hi guys, not sure how many of your have done this before. my current company is a new startup. and has been running for about 6 months. we're into distributorship of oil&gas industry. reason why i join, because of sheer luck.. and my past experience of dealing with the product. my boss always talk to me about entrepreneurship and recently we've the possibility of doing a product which i am an expert in.

i plan to negotiate with the boss on being a partner. what kinda terms have bro out there negotiated before?

↡ Advertisement
Link to post
Share on other sites

hi guys, not sure how many of your have done this before. my current company is a new startup. and has been running for about 6 months. we're into distributorship of oil&gas industry. reason why i join, because of sheer luck.. and my past experience of dealing with the product. my boss always talk to me about entrepreneurship and recently we've the possibility of doing a product which i am an expert in.

i plan to negotiate with the boss on being a partner. what kinda terms have bro out there negotiated before?

 

your company still hiring?

Link to post
Share on other sites

Not to be a wet blanket but almost all partnership I've came across end up the bigger fish eat the small fish. It's dog eat dog world out there. Whatever you are specialised in keep most of it to yourself and if you can set up your own company.

Link to post
Share on other sites

Not to be a wet blanket but almost all partnership I've came across end up the bigger fish eat the small fish. It's dog eat dog world out there. Whatever you are specialised in keep most of it to yourself and if you can set up your own company.

 

obviously TS no capital dats why wanna boss chu qian he chu li.

Link to post
Share on other sites

My personal experience is partnership is usually a bad idea. No matter how long you know the guy, how much trust you have between each other, money issues are bound to crop up. Even if no money issue involved, there will usually be some major disagreements due to difference in mindsets, and in the case of the person holding less power (which is probably you in this scenario) will lose out.

Link to post
Share on other sites

If your boss invite you to be partner then I see it in positive light. Perhaps you hint to your boss that you like some profit sharing.

 

If you self invite to be a partner, that is not a good idea. Your boss will view you differently from the day you open your mouth suggesting that he let you into the partnership. Unless your boss have financial problems to start with and you can pump capital into his business. Otherwise, he rather replace a staff that is eyeing on this business/profit.

Link to post
Share on other sites

50% of something is better than 100% of nothing (in terms of collaborative/symbiotic ventures).

 

If he is a true business person, he will understand.

 

Even if things do not work out eventually, appropriation of your share can be done easily.

 

Its the goodwill or intangible value of the company/brand/product that one should prioritize over perceived contingencies.

 

Hope this will provide a little more insight in steering your direction, this coming from 13 years of M&A background.

 

Don't worry, I'll send you my bill later [laugh]

 

 

Link to post
Share on other sites

One question, is the product that you specialize in unique in its kind and will have the potential to make most of the companies future profit? If its just another line that still does not overtake what the company specialize in, you better not open your mouth.

Link to post
Share on other sites

He told me on day 1 if after working sometime. I want to setup my own, I can set a subsidiary under him whereby he won't pay salary, but draw from my profit. As he will come up with the capital. If I'm able to take brands away from him and do on my own, it only shows he didn't do a good job.

Link to post
Share on other sites

Think in the shoes of ur boss and ask urself why he should let someone come in and share profits.

 

If it's just specialist knowledge that u have, then he can sack u and employ someone else who can do the same job. If u are the only person in the world who has this knowledge, maybe u can hold him ransom for more pay or profit sharing, until he finds ur replacement and sacks u.

 

If by making u his partner, he can potentially get more than if he didn't, then u have a value proposition.

 

E.g in ur capacity as partner, u can bring additional net income of say $10m, then it makes sense for him to share some of that $10m with u as partner.

Link to post
Share on other sites

hi guys, not sure how many of your have done this before. my current company is a new startup. and has been running for about 6 months. we're into distributorship of oil&gas industry. reason why i join, because of sheer luck.. and my past experience of dealing with the product. my boss always talk to me about entrepreneurship and recently we've the possibility of doing a product which i am an expert in.

i plan to negotiate with the boss on being a partner. what kinda terms have bro out there negotiated before?

 

IMHO,

 

The reason why he wanna talk to you about entrepreneurship is simple. All owners pray and hope that they can get someone who will work and run the business as if it is his own, except that he takes most of the profit and gives you a commission when the numbers come in.

 

Whether you can succeed or not with the negotiations depends on your boss's personality and yours. If I were the boss, I will try to make you a paper partner. Means you get part of the profit sharing, I buy you a company car, give you a nice office but legally you will not have any ownership of my company. If the business takes off, you get money I get money. If 1 day split, I just find a new 1, the existing accounts still belongs to my company.

 

 

 

 

Link to post
Share on other sites

50% of something is better than 100% of nothing (in terms of collaborative/symbiotic ventures).

 

If he is a true business person, he will understand.

 

Even if things do not work out eventually, appropriation of your share can be done easily.

 

Its the goodwill or intangible value of the company/brand/product that one should prioritize over perceived contingencies.

 

Hope this will provide a little more insight in steering your direction, this coming from 13 years of M&A background.

 

Don't worry, I'll send you my bill later [laugh]

what is perceived contingency?

 

u r rite - me n partner 50-50; cannot calculate who do more; one who has expertise would contribute.

↡ Advertisement
Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share

×
×
  • Create New...