I wholly own my business. I do understand the need for partners and once I had one, in a different business. I have a list of multiple businesses that I am interested in yet could only do them with the correct partner(s).
Choose your partners wisely. I have seen what I consider to be unethical behavior by others who added partners.
In these particular circumstances, a married couple started their realty firm, they over rented space two floors they did not need, in a neighborhood, that was too expensive for a start-up company. The place was beautiful and cost it.
Several months in, they were talking up their plans to fellow church members, they talked one woman, I believe she was elderly into investing in their business. The woman finally agreed.
She invested $10,000 for a small percentage of their business. The old owners immediately paid themselves a commission for finding the office they signed a lease to four months prior, taking most of the new funds.
When I questioned them on the ethics of this action, they stated that they were entitled to the commission. I thought, sure so long as was someone else’s money, they did not change themselves the commission.
I knew, I was not going to be working with these clients for long…
Never ever take on a partner that has limited personal resources, especially if they are controlling the checkbook.