Investment advise?

[The Clipper]

A freind of mine has asked me to buy into his Lawn care business. From the outside it seems he is making money and the business is growing and that's the reason he is looking for a partner. The business is growing and he needs help running it. Basically, I would like some advise on what to look for and questions I can ask before I make my final decision. Is it better to buy in to a lawn care biz or to start your own?

[65hoss]

From a purely accounting standpoint, he should have some sort of software that he uses to keep his books. The most important statement that you could see is the Cash Flows Statement. Very valuable info. Look at all the other accounting statements and even have a CPA look it over for you. Take a look at his contracts, and his spending habits. Two bosses = two opinions = potential problems. Use logic and common sense, not emotion and friendship in deciding this.
Eric

[Cutter1]

I would look at it this way. Two people running=HALF the money. Having a partner would help in some situations. half the stress and half the work load, but it all comes down to one thing, money. Can you and him make enough to split and be happy with your income. If you think you can, then by all means go for it, but if you don't think it can work, go on your own. It helps that he is already established and has his name out there and some equipment, but two people have two different opinions. If you do decide to be a partner, talk to a lawyer and GET IT IN WRITING!!! Good luck in your decision and if I think of anything else to say, I'll let you know. :)

[Scraper]

Here we go with the "Half the Money" view again.....

[parkwest]

Just like on a baseball team which has only one manager or a ship with only one captian, you can only have one guy calling the shots. The only reason you would want a partner is if you absolutely couldn't start your business on your own. If you have a partnership your first goal should be to buy your partner out. If your buddy's business is booming he needs to hire the right help and learn to delegate. He shouldn't be looking for a partner.

[Skookum]

If you are being asked to put up some money as an investment, you might as well start your own biz and sub out to your friend if he needs help. Good simple startup could be done for about 5,000 if you have a truck or car to pull a small trailer.

Going into business with a friend could end the friendship also.

[bob]

I wouldn't do it. You won't stay friends. Either start your own business ,or work for him as a payed employee.

[bdemir]

I agree with bob 100%.

[HOMER]

DITTO THE LAST 2 POSTS.................... If he wants help tell him you'll help him for x amount, any new business you line up ask for a percentage. Gives you more incentive to sell and also helps his bottom line. I wouldn't put any of your money into it.

Homer

[thelawnguy]

The only partnerships Ive seen work in trade type businesses is when one partner runs the show and the other stays out of his/her face and does the marketing sales etc. two chiefs doesnt seem like it will go far.

[sunrise]

I wouldnt do it
friend and business dont mix
you will hate each other
unless one run the sales and problems and the other run the operation of the day