Sam smeet 1 year ago
Is this a potentially good businees idea to get involved in?
I was approached by a woman who is opening her own consignment store. She already has two storage units full of good quality clothes shoes and other items worth a good bit. She really need somebody to do her online marketing, branding, sell products online help her organize and get an inventory inventory and manage the bookkeeping. She eventually plans on turning it into a non-profit fish rescue but at least for the the next year or two we would be a retail brick and mortar but also online on things like postmark and ebay store. This probably seems kind of crazy but that’s what her passion is. She offered for me to be a partner or says I could basically do this however I want 50/50 whatever I want with her so we have about $3,000 that’s coming from her husband to start the place should I come on as a partner should I do contract work does anyone have any suggestions how to handle this?4 Replies
Kimberlee LeonardMember11 months, 1 week ago
Sounds like an interesting opportunity and you’re wise to consider all options.
Before you do anything, sit down and determine what you want out of this. Write a quick business plan and determine how you will make money. You can follow our guide here.
Then have the business conversation with her and her goals. She already has money and time put into this. Find out what she see’s her exit strategy is. Make sure your plan has a couple of options to present to her. Here is a link to some exit strategy ideas.
It will be up to you to determine if you really want to build this as a partner with her or work as a contractor where you can cut the ties more readily at will. Whether you partner or contractor, always get everything clearly written and signed in an agreement or contract.
Liz BrandonParticipant10 months, 1 week ago
“She eventually plans on turning it into a non-profit fish rescue.” What does this mean for you if you partner with her? In the beginning all profits would be split in some way between the parties involved. What will happen later when she turns it into a non-profit? It would be best to clarify what that means for you before you make a decision either way.
Jason LavisParticipant9 months, 3 weeks ago
From a business standpoint, my first question is to ask whether she has a profitable business idea. I’d look at the accounts first, before considering anything else. Has she sold any clothes at a healthy profit? Is this scalable? Without a solid business, you might be doing worse than simply wasting your time. Has she bought the clothes, but needs someone to effectively create the business for her? If she had tested the concept, she might be too busy filling orders to be talking to you.
8 or 9/10 businesses fail, for many reasons, but the toughest situation might be the ones where there simply isn’t a profitable business there at all. Those situations just give anger, frustration and failure, perhaps even mental health issues.
That said, if you really want to start a business but don’t have capital, this person might be offering just the chance that you need. Perhaps she is a friend or family member and you’d really like to help, regardless of the outcome? If any of these things are true then I’d recommend creating a simple contract, to kick in after a trial period. Get a legal document that lists the 50%, or $1500 or whatever else you agree, then test the market. Commit to perhaps 6 months, then focus on only one way of selling. eBay might make the most sense. Spend all your efforts learning how to sell on eBay, and testing all of the products that you have available. The contract kicks in after the trial period.
Christina GarnettParticipant9 months, 3 weeks ago
Do not partner with any business without looking at the books and see if there is feasible return and profitability. If you do want to be a part of this, I would suggest starting first with contract work. This will let you learn more about this type of business as well as learn how she is as a business owner. If after this you are still interested in partnering and see how she is able to run a business, you can revisit it.