Bringing On A Partner

kertis

New member
Ive got my shop open finally and wanted to know if any of you have a shop and bought on a artner to help run the shop? if so....



How did you arrange the sharing of profits?



Any advice is appreciated..
 
waterlessdetail said:
Ive got my shop open finally and wanted to know if any of you have a shop and bought on a artner to help run the shop? if so....



How did you arrange the sharing of profits?



Any advice is appreciated..



From my experience...bad idea. If you want some help running the shop hire a shop manager but don't make him a partner.
 
jsab9191 said:
Partners are for dancing .



Im quite the good dancer though:buffing:!...but im my own partner! 9times out of 10 partners end up splitting and going to court...do as the others stated, shop manger, period.
 
buddy of mine just opened up a shop .. at times he's so busy he needs someone there to help .. but as for most of us .. money is tight right now .. so its best for his income not to hire someone



if you can afford to hire someone .. than do it .. or hire somone young thats willing to learn and help out .. that way they dont expect a huge paycheck
 
or just schedule out further so that you dont have to hire people out...that is what I would do. Instead of hiring someone to help me get through a weeks worth of work, I would just schedule it out over 2 weeks...I am hit or miss with business, so its not like I am losing business by stretching it out because one week I will be slammed and one week only one or two cars...



that is another way to increase your profits and reduce your expenses
 
toyotaguy said:
or just schedule out further so that you dont have to hire people out...



that is another way to increase your profits and reduce your expenses



Not really, especially when you are running a full-time shop and have overhead that needs to be paid (like the OP indicated). Adding a person should increase profits, if done correctly. Yes, the expense of that person is added in, but having 2 people instead of one should increase income more than enough to justify the extra help (if the work is available). Spreading a weeks worth of work over a two week period just isn't possible for some. $2,000 of work in two weeks isn't the same as $2,000 in one week. Big difference.
 
right, which is why i clarified stating that I am not super busy ALL the time. And by shop, it could be a little 800sqft location where he takes all his cars instead of being mobile, not a constant place where cars are going in and out day in and day out...



i was just looking at it from the other side of the fence. Like I said, some weeks I am overloaded and have to have an extra set of hands, and other weeks I need more cars!
 
I understand, but I'm looking at it from the OP's perspective because after all, he's the one asking for advice. There's a lot more overhead to be considered when running a full-time shop so there's more incentive/obligation to have steady work.
 
sorry I havent been back here in a while but i appreciate all the responses...I stated partner but Actually have him as a shop manager...Hes gonna be commission based and i guess i should have asked what percentage should i pay him....They say if you pay your people good..theyll be more committed so I just wanted your oppinions...Thanks
 
Have tried the "partner" route two times now = disaster. If someone even is hired as a manager they need to PROVE themselves over a long period of time, with the ability to act and perform as an owner.



Going with anybody who is really young might garner someone who will take less but the maturity level will not be there, conversly if you hire someone who is "experienced" they may have ingrained bad habits and a expectation of entitlement to large amount of the profits.



Going the commission route will be the best way with performance rewarded and lack of it they will be self penalized.The percentage of income will vary due to the variant of factors in your particular service ie:total gross income,expenses etc... the person who comes in needs to know who is in charge with no exceptions whatsoever, be fair but give no wiggle room at all and make expectations crystal clear on what they need to do to grow the business and thus secure their own financial stability.
 
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