I posted a couple of weeks ago about a business deal offered to me and was pretty much given an overwhelming no. Through some negotiation, we have come to this and I would appreciate some more brutally honest feedback. I have a friend who is wanting to start a lawn service branch to his current pest control business. He is willing to front all the start up money ($30,000) with no payback on that money. He will own the company 100% and pay me a salary the first 6 months or so. As the company grows and reaches specific revenue benchmarks, I will gain ownership with a max of 75% ownership for me. All of this seems great to me with no initial investment. However, the kicker for me is he would ask for 5-6% of gross revenue per year as a "franchising fee". He would not begin taking this until the business shows a profit. He insists he is willing to be very patient on taking the "franchising fee" in order to give the business time to be profitable. I am very concerned however about what that 5-6% could mean for the business. Depending on the size of the business, thats a new mower, or another employee, etc. I do appreciate, however, the fact of owning 75% of a business I have nothing but sweat in. Not at all downplaying the value of hard work, but I don't have $30,000 to start a business with either. So let me have it with your feedback!! Also one more thing...what is the best way to determine what kind of market you are getting into. I live in upstate South Carolina if anyone already knows this market.