What to pay?

[Mark Imbesi]

A very good friend of mine lost his job of 20+ years in the pharmacutical industry. Before the layoff, he was commenting about a change in employment and becoming self employed. I want to set him up in a BNI chapter, in PA, near his home (I live 1hr away in NJ), representing my company. He would be working for me on the jobs he sells. I want to establish a fair pay schedule on #1 what he brings in and #2 what he works for. Keep in mind my travel to his area. The goal would be opening him up to sell and work the jobs himself, under my company.

Also, would I have to register my business in PA, also?

Thanks for the input.

 

[Chris Muetterties]

Where in PA ?

 

[Larry B]

If he is using his address in PA then yes he would need to register their

 

[Mark Imbesi]

Where in PA ?

Somewhere where there is little competition. I don't want that BNI seat filled before I get him planted there, therefore, my secrecy.

If he is using his address in PA then yes he would need to register their

Would I need to register in PA? He would be an employee.

 

[Larry B]

Alot of places work in different ways.

Around here if you have a local phone number that is answered in that area you must be registered.

If you have a local address or local place of business you must be registered.


The best thing to do is call the local city hall and ask them.

 

[Mark Imbesi]

Great points! Would like to hear more specifics on compensation (percentages).

 

[Mark Imbesi]

buy another truck and lease it to him as a sub contractor

We are doing this as a test to see if he likes it. He witnessed me, last month,cleaning his carpet and the conversation started. He knew of possible layoffs and with his 20+ years, thought he would have been axed. He would gain experience through working with me and IICRC classes. I will be paying for his BNI membership of $430/year.

Another truck is something to think about later. But, with me rebuilding here in NJ, I will have time to go into PA to get him going. Maybe try to book a few the same day, and/or consecutive days with me staying overnight there.

What kind of work are you wanting him to go for, both residential and commercial ?

I've never gone after commercial. The commercial I do get comes from fellow BNI members or self-employed residential clients. I guess I shouldn't limit his ability to sell it. Thanks for your comments, Steve.


Anymore?

 

[boazcan]

Marc,

Be careful. After being laid off from a six figure cushy job, it will be very difficult to keep his attention from a compensation point of view. Unless he has a bunch of cash on hand to carry him through, he will quickly be looking for something else. This is not a bad business as OO, but for 50% of that is another story altogether. I am having fun doing what I am doing but not making what I was and having to work hard for it. I have several friends in that field, and I would never consider doing with them what you are suggesting.

Let him put the money up and charge him to teach him. You could set it up as franchise type addition, but as an employee I think you will lose him after you work very hard to set him up.

IMO..........Bryan

 

[Mark Imbesi]

Let him put the money up and charge him to teach him. You could set it up as franchise type addition, but as an employee I think you will lose him after you work very hard to set him up.

IMO..........Bryan

Opinions are what these BB's are all about. Thanks for sharing the "other side". I certainly will chew that one over, as well.

 

[Farenheit251]

If the guy is worth a shit he will buy his own truck and you won't make any money. If he is not worth a shit he will keep working for you and you won't make any money. I'd do it for friendship but not invest alot. I helped a guy 12 years ago and it is so nice to have someone I trust to cover vacation,illness or help on big jobs.

 

[cu]

he seen you do his carpet , he sees the money you made of him and said to himself ...i can do that....now he,s picking your nut to set himself up
....
now go to jondon site or any other used tm site and see the units for sale from others who had the same idea .....
do your self a favor ...make him do just sales and tell him the type of biz you want ..comm to start 12%...if he brings in x amount of dollers in work by an agreed time then put him on payroll and comm.......nick name him ken if you want...but dont train up somebody to take biz away from you down the road

 

[Willy P]

I try hard to not hire friends or family. It's hard, but it seems to work out better in the end.