June 2, 2009

The 5 Questions For Any Residual Income Partnership 3

by brian

So sud­denly you and your best friend have thought of a great idea to gen­er­ate some pas­sive income.

Sounds bril­liant, right. Well it could be the start of a beau­ti­ful part­ner­ship but is the end­ing nec­es­sar­ily the same?

So these are 5 ques­tions that you need to ask your­self and your busi­ness part­ner. If you think things are tricky when you’re not mak­ing any money, it’s when you start mak­ing LOTS of money that things become more dif­fi­cult. Espe­cially if you have a busi­ness partner.

  1. What is our business’s exit strat­egy? Is there one?
  2. What is the best way for us to han­dle and resolve conflicts?
  3. What pro­por­tion of the income belongs to who? How much of the com­pany do each of us own?
  4. What are our roles and respon­si­bil­i­ties in deal­ing with the business?
  5. What do you and I expect from each other in terms of work load, growth, and responsibility?

Hav­ing a busi­ness part­ner may decrease work load but if it’s not an explicit part­ner­ship, prob­lems may arise that could ruin a busi­ness. It’s bet­ter to dis­cuss these things before jump­ing into any­thing first. Just because you’re good friends doesn’t mean you’ll be good busi­ness partners.

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3 Comments on “The 5 Questions For Any Residual Income Partnership” - Post your own?

Jeffrey says 12 months ago

What hap­pens in a part­ner­ship if one per­son dies. How do you ensure that the liv­ing part­ner still gets his half, espe­cially if the dead part­ner was the one whose name was on the MLM reg­is­tra­tion to receive the resid­ual income?

Thanks

Sybil says 1 year, 2 months ago

I said def­i­nite yes to 6 of 7, although the “related pro­fes­sion” may also apply as I cur­rently home­shool and also han­dle the sup­port for cus­tomers attempt­ing to choose the right soft­ware for their needs.

How do I take all the knowl­edge and nat­ural tal­ent / gift and turn it into a prof­itable busi­ness that does not take all my time to keep it and the clients on track?

I didnt see the link to the ques­tions to ask.

Sybil says 1 year, 2 months ago

I said def­i­nite yes to 6 of 7, although the “related pro­fes­sion” may also apply as I cur­rently home­shool and also han­dle the sup­port for cus­tomers attempt­ing to choose the right soft­ware for their needs.

How do I take all the knowl­edge and nat­ural tal­ent / gift and turn it into a prof­itable busi­ness that does not take all my time to keep it and the clients on track?

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