To the guys who have set up a business before..

[SteR]

A friend of mine approached me a while back asking about forming a company with him. I've known this guy for a few years and I'd say we're decent friends now. The only problem is when we first met he did something shady that, while forgiven, has left a nasty splinter in the back of my mind (he fooled around with a girl I wasn't exclusive with, behind my back). I'm also aware of him having nailed another guy's wife behind his back, although he didn't know the guy.

Anyway I've always felt that to go into business with another person, I have to trust that person completely. And while it may be argued that the original incident has nothing to do with business.. it does leave me questioning whether I could somehow get screwed later on down the line. You know the saying: Fool me once, shame on you. Fool me twice, shame on me.

I'd just like to get an external perspective on what you guys think? Am I right in my apprehension about getting involved with this person or am I being overly sensitive? Like I said, this was ages ago and before we knew each other too well. Afterwards he apologised profusely and didn't think I'd be bothered by it (since we weren't exclusive) but it's obviously a red flag..

 

[Fatal Jay]

If he can sleep with your woman behind your back.......why would you want to go into business like that especially if it takes off and big money comes rolling in.

If I can't trust a dude with my woman....why would I trust him with my money.

Shame on him, shame on you when he gets you again.

 

[Billtx49]

Even with a trusted friend, a good contract is in order, but even then it's a gamble. Always be a sole owner with no one to answer to but yourself.

 

[Bible_Belt]

Even with a trusted friend, a good contract is in order

YES. It's called a "Partnership Agreement," and it governs everything. You need to think of every possible contingency, every bad thing that could ever happen especially, and spell out in the agreement what will occur if it does. Everyone's rights and duties are spelled out in the agreement.

The partnership agreement rules all. Words mean nothing. Any promise your partner makes to you had better be in the written agreement, or else it might as well have never existed.

 

[Tenacity]

A friend of mine approached me a while back asking about forming a company with him. I've known this guy for a few years and I'd say we're decent friends now. The only problem is when we first met he did something shady that, while forgiven, has left a nasty splinter in the back of my mind (he fooled around with a girl I wasn't exclusive with, behind my back). I'm also aware of him having nailed another guy's wife behind his back, although he didn't know the guy.

Anyway I've always felt that to go into business with another person, I have to trust that person completely. And while it may be argued that the original incident has nothing to do with business.. it does leave me questioning whether I could somehow get screwed later on down the line. You know the saying: Fool me once, shame on you. Fool me twice, shame on me.

I'd just like to get an external perspective on what you guys think? Am I right in my apprehension about getting involved with this person or am I being overly sensitive? Like I said, this was ages ago and before we knew each other too well. Afterwards he apologised profusely and didn't think I'd be bothered by it (since we weren't exclusive) but it's obviously a red flag..

For me personally, I don't really blind trust anybody when it comes to business, I always trust but verify, cover my a.ss, and get everything in legal order.

If this guy can potentially help you grow the business into something great, then that's obviously a plus. What I would be looking at is an iron clad contract with an Attorney reviewing the situation. Also you need to figure out who will be managing the cashflow, revenues, profits, etc. and make sure to have a proper monitoring situation in place to make sure NO money is being stolen. This needs to be done in general, for any employee or partner you have. Also make sure you incorporate properly.

Unless he has screwed someone over in business before, I don't know if I would totally use the fact that he screwed some wh0res as some sort of assumption he will screw someone in business. A wh0re is a wh0re, he can't screw anybody's girl or wife unless SHE decides to screw him as well, basically both parties agree to the screwing. In the business screwing, one party takes it upon themselves to screw the other, without the other being a willing participant. That's shady. But screwing someone's girl or wife isn't shady to me because the wh0re wanted to be screwed.

 

[Tictac]

I try not to have clients I can't trust.

Being partners with someone I can't trust is not ever going to be on the table.

Business is bizarre enough.

 

[synergy1]

I just incorporated and had a founders agreement in place - both agreed upon the contents. Now, I have no reason to distrust the my business partner, but its still good to have contingencies planned such as if one partner moves, decides to stop working etc. However, a business partner who fooled around with women behind your back is trouble. I would stay away. far away. Your experience will go sour in time when things get bad.

You have been warned.

 

[sodbuster]

I wouldn't. He's already PROVEN his little head leads his big head. So MAYBE he won't screw you over in business, maybe he will. BUT I'd bet money that he's going to want to tap a hot secretary and set your company up for a sexual harassment case...... He's already proven he has no common sense when it comes to tail

 

[zonn]

You don't go into business with friends.

 

[dillj]

NEVER an equal partnership! NEVER. Nobody can be trusted with that much of your life. Create a corporation, name some people as officers, sell a certain amount of the stock to them (for $1 per share, perhaps?) But never sell more than 40% of the biz's stock. Never. Or else, sell it out completely and go do something else. If you let other people be in a position to give you a hard time, you'll regret it.