Advice Needed to Establish Partnership

I am in the process of partnering up with an established Home Inspector who already has a Website and Business established and want to know what would be FAIR COMPENSATION for training and using the company name? I plan on working in an area they do not do business and will open a new market. I will get my own jobs and will not rely on them for anything but training, company name, and contact support.

What would be fair?

anything you both agree to is what is “fair”. put some real numbers into some scenarios like 20 inspections and you can see a dollar amount that may or may not make sense.

If it were me, I would think something like 70% for the guy performing inspections would be a fair price. you do all the work, but a lot of the calls may come from his website and reputation and how well he trains you.

I would make sure to talk to a lawyer and get his advice .
I also would make sure to have a( shotgun Clause in the contract )

good advice Roy, although I would expect this situation to not be a true partner ship as this guy is going to be more or less employed by the existing company as a subcontractor.

It is far easier to deal with all issues prior to getting started

I’ve got the best advice my Father taught me long ago.

When it comes to parternerships.


They rarely work out in the long run with small businesses. If at all possible do it on your own. In small businesses someone always feels like they are doing more than the other.

Just my words of wisdom for the night.

Sometimes you do not have a choice but if you do, do not do it :slight_smile: Good luck

By the way first thing you should do is become a member.
The benefits and training available to you are immense.

The second is update your profile so we know where you are.

Good luck.

If all you are going to use them for is a name and training, but you are going to get your own clients, welll you don’t need them as a partner, start your own CO and make all the $$


HIRE a lawyer, for you, not your partner he can get his own. That way all the items that can come up down the road are in writing up front.

Items like who gets what amount of $, what happens if one wants out, who has athority to make what decisions, who is responsible for what. Who is on the hook for expenses if you have an office space, how do you take disbursements for salary, whats the procedure for buy in, personal equipment value, buying one partner out, or adding another partner.

Get a lawyer experienced in corporate law.

The only ship that won’t float is a partnership! There are RARE exceptions but generally they have a short lived life span.
My advice…lets make it my opinion and experience…is if you don’t feel you are equipped to start and run your own business …yet …join him strictly as a sub contractor, have an attorney ( experienced small business) draw up a SHORT contract agreement focusing on the major necessary points like any other sub contract…compensation structure, expectations of performance etc. don’t complicate it but cover carry your own insurance…OR why not just go to work for them as employee with bonus structure for every client you land on your own?
Either way if you have business skills you can learn a lot by watching and doing for a while and then take off on your own with the support team and services that perform your weak areas. Beware of signing any type non compete!,!,!..if you sub contract and use his name and support he is going to want to protect his name… I would strongly suggest that if you feel equipped to take on the liability,skills and discipline needed to run your own show…just offer to perform any inspections they want to send your way for a percentage as a sub contractor period…then you can use your own name to build your own reputation and client referral base in your “new market” area. Get online every moment you are not marketing or inspecting and take every course and watch every video NACHI has available…hire a home inspector ( nachi member if possible with wisdom and a stellar reputation)to inspect your, or a relatives house and use that time to watch,and learn as they go about their business…asking many questions and taking notes.
Use everything you learn, good and bad and the inspection report. A very good investment in yourself … Get a coach…someone you can learn from who has the heart of a teacher…I mowed grass one summer…many years ago now… But anyway, I mowed several yards each week to have the money to invest in coaching from and older man who had owned several construction, development and consulting businesses and had eventually been very successful. I hired him to mentor me each week as we sat down, set out my goals in business and then reviewed what I did every week and he made mentored me right into a successful business plan and operation that I still run today ( actually have even expanded on to include three companies now). Invest in yourself and you will never look back…####all the above rambling and advice is worth exactly what you paid for it…:slight_smile:

Make sure his training program is recognized in your state. If not, then you really have no need at all to partner with him, other than use his website. If you’re in a different area, his website isn’t going to help you anyway.

Just do it on your own. Take the money you would invest in a partner and invest it in yourself

My 2 cents…