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Old 11-18-2004, 05:24 AM   #1
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If you had an investor with $100,000 -- what will...

What will your partnership arrangement be?

50/50

or sliding scale depending on revenues?

Please explain why.

I'm partial to the sliding scale myself.
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Old 11-18-2004, 05:26 AM   #2
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fuck a partnership. i would pay them interest if anything.
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Old 11-18-2004, 05:27 AM   #3
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I am favorable of the 50/50 but with points set in the contract so that after a certain amount of money has been earned and the person has gotten his investment plus a large percentage back the company would be totally yours...
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Old 11-18-2004, 05:44 AM   #4
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Fantasyman always told me 'Money gets 70%'.... but then he'd settle with 50% partnerships....
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Old 11-18-2004, 05:45 AM   #5
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Quote:
Originally posted by beemk
fuck a partnership. i would pay them interest if anything.
Unfortunately, a 100K unsecured loan is quite hard to find nowadays. Equity or partnership is the more likely scenario.
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Old 11-18-2004, 05:49 AM   #6
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Quote:
Originally posted by $5 submissions
Unfortunately, a 100K unsecured loan is quite hard to find nowadays. Equity or partnership is the more likely scenario.
If they are a serious investor at 100k then a 12% return as well as options would be enough to clench the investment.

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Lee
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Old 11-18-2004, 09:41 AM   #7
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Quote:
Originally posted by $5 submissions
What will your partnership arrangement be?

50/50

or sliding scale depending on revenues?

Please explain why.

I'm partial to the sliding scale myself.
50/50 is a cool deal.
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Old 11-19-2004, 12:00 AM   #8
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99 to 1

Idea guys are a dime a dozen. Guys with capital are hard to find. And people are all talk. Let the guy prove and validate his idea then you guys can renegotiate.

Why do you think Venture capital firms ask for a SHITLOAD buying in?
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Old 11-19-2004, 12:01 AM   #9
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I'd take the Hundred K and

go to
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Old 11-19-2004, 12:08 AM   #10
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hmm... for 89k you could start a subway fre sandwhiches for life
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Old 11-19-2004, 12:10 AM   #11
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hmm... for 89k you could start a subway fre sandwhiches for life
Really... franchise fee, all equipment, leasing a location, other startup costs, for 89k? No way.
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Old 11-19-2004, 12:11 AM   #12
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hmm... for 89k you could start a subway fre sandwhiches for life
Yeah and you would be the guy making the subs, very few people who buy those franchises find enough margins in them to be able to do other things.

DH
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Old 11-19-2004, 12:16 AM   #13
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Originally posted by papichulo
99 to 1

Idea guys are a dime a dozen. Guys with capital are hard to find. And people are all talk. Let the guy prove and validate his idea then you guys can renegotiate.

VCs/Angels are everywhere.
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Old 11-19-2004, 12:19 AM   #14
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VCs/Angels are everywhere.
But after 2000, they don't just spread cash around. Your proposal better be good. I did the whole REVERSE MERGER stuff in the late 90s and its coming back.
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Old 11-19-2004, 12:20 AM   #15
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Yeah and you would be the guy making the subs, very few people who buy those franchises find enough margins in them to be able to do other things.

DH
WORD. Most franchises are ripoffs and are worth doing only if you plan on taking out a REGIONAL franchise and pimping out the subfranchises.
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Old 11-19-2004, 12:22 AM   #16
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Quote:
Originally posted by kmanrox
Fantasyman always told me 'Money gets 70%'.... but then he'd settle with 50% partnerships....

Ron L. was/is a good Gott's Gonif...if you can sell a 70% deal for yourself and your family, good on you...if not 50/50 works


Lachieym!!!


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Old 11-19-2004, 12:23 AM   #17
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But after 2000, they don't just spread cash around. Your proposal better be good. I did the whole REVERSE MERGER stuff in the late 90s and its coming back.
Ye well I hear now VCs don't throw money at ANY business plan they see these days.
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Old 11-19-2004, 01:22 AM   #18
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Sum hooker and lotto tickets....and i'de be set!!!
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Old 11-19-2004, 01:59 AM   #19
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It all depends but 50/50 sounds great especially couse it is way too hard to find ppl with money and ready to invest
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