Forums: Discussions for entrepreneurs and small business.

I need suggestions on how to handle a new start up business with a partner.   My partner must quit her job due to noncompete issues.  She is in the same line of work with new start up.   I am in a completely different line of work and starting this new company with her.  My plan was to continue working at my current position 4 days a week and work on the new company when not working on those 4 days until we have the company up and going - hopefully within 6 months.   My partner believes I need to quit at same time she does.   Does anyone have suggestions on how to handle this?

 

juststarting

This seems like a ideal opportunity to see how well you and your partner will be able to handle the `differences of opinion` that will arise in any and all partnerships.  I would hope that you can both express your reasons for each of your postions, and then come to some agreement.  You might want to establish a phased in approach - continue working for x period of time, and then stick to the agreed timeframe.  The key point I would think is that if this is going to be a major issue that can`t be worked out, a partnership might not be the best approach for you two.

 

You didn`t mention a reason for wanting to continue working.  I do know that trying to continue working a job can get in the way of running a full time business.  Several years ago, I chose to walk away from my job to start up a business, specifically because I knew that I would be shortchanging both my employer and my business by trying to split my time.  But if your concern is that you don`t have enough startup money available to keep food on the table during the startup phase, then you might need to hold on to the job.  I had what I believed were sufficient funds to get me through the startup, but I learned the hard way that building the business can be slower than you expect.  Since I already walked away from the job I was limited in my options for additional funds.  If funding is a concern, be careful that you have a realistic (make that conservative) business plan, and make sure that you will be able to keep food on the table.  If that can be done in some manner without the job, your business would probably be better served with you both focusing on it full time.

 

Putting myself in your partner`s shoes - this is how I would feel...

 

I would feel like I was giving it all (because I had to quit my job) and you were keeping your options open (by continuing to work).  I would resent every extra hour I worked on the business and would be angry with you if you used your job as an excuse to not step it up.

 

Unless you were putting more in financially, I would not feel equal.  But, if you were the bank and I was the foot soldier, there would be less resentment.  Otherwise, you don`t look or act as equals.

 

Just my 2 cents. 

 

~Kim

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