Partnerships

Discussion in 'Business Operations' started by jsr2741, Aug 3, 2004.

  1. jsr2741

    jsr2741 LawnSite Senior Member
    Posts: 392

    Most of you know I'm a Police Officer. There is a few guys on my department who own their own lawn business, some big, some in between and the rest small. One of my buddies (small operator)called me (small operator) today and told me he was approached by one of the other guys (medium operator) about possibly going in together and bidding the Quick Trips in our area. I beleive there are over a hundred but don't quote me on that.

    So I told him I'd think about it. After some thought it didn't sound like a good idea. First we'd have to set up a separate company, get insurance (already pay enough as it is), joint bank account and decide who's going to be the ram rod of the outfit and a few other things which would increse; at least in my operation, my overhead.

    Anyhow I thought I'd throw this out to you all and see if any of you have ever had a multi-partnership business and was it successful or not.
     
  2. mtdman

    mtdman LawnSite Gold Member
    Posts: 3,137

    Sounds like a pain in the butt to me. Partnerships suck to begin with, but put a bunch together, and you're adding up the suckiness.

    To make something like this work, you really gotta know and trust the people. I think the best way would be to divide them up amongst yourselves. Figure out who is going to do which ones. Then come up with a price. You'd have to bill it as one company, so you'd need a new company, and you'd need someone to be in charge of the $$ that you trust.

    That's my 2 cents.

    :D
     
  3. HOOLIE

    HOOLIE LawnSite Gold Member
    Posts: 3,981

    It would seem the better solution would be for Medium Guy to get the contracts and sub-them out to you and the other guy (or vice-versa) That way you get the work, but don't get tied together financially.

    As I read once, "A partnership is like a marriage without the sex"
     
  4. Team Gopher

    Team Gopher LawnSite Platinum Member
    from -
    Posts: 4,041

  5. meathead1134

    meathead1134 LawnSite Senior Member
    Posts: 637

    All I've got to say is partnership bad idea. Take a look in your local phone book and see how many partnerships you see that actually last. You may find 1 or 2 but for the most part they just don't end up working. I can go into a million reasons why. My best friend wanted to get in the business with me and I politely said no and he understood. If I did get into a partnership with him He's is currently working 2 jobs going to school and has a girl friend that has just about dried up all of his money. Now how would he have time to work with me. First rule of business don't get into a partnership.
     
  6. Tharrell

    Tharrell LawnSite Silver Member
    Posts: 2,964

    Couldn't you just act like subs, wouldn't that work?
     

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