Been thinking about bringing on a partner instead of just hiring employees. There's another auditor here in Corpus Christi who works AEP Texas territory and we complement each other well. Anyone gone the partnership route? Worried about splitting revenue but could expand faster with two people bringing in business.
Partnership vs employee - pros and cons?
Vivian, I considered that path but decided against it. Partnership agreements get complicated fast - what happens if one person brings in 80% of the business? How do you split expenses, client ownership, time off? I went with employees instead and retained full control. Easier to scale that way.
Had a partnership for two years that ended badly. Started great but we had different work styles and client service philosophies. When it dissolved, we had to split the client base and it hurt both of us. Alabama Power territory is big enough for multiple operators but partnerships need perfect alignment.
If you do go partnership route, get everything in writing upfront. Revenue splits, client ownership, exit strategies, decision-making authority. I've seen too many friendships ruined by handshake business deals. Sometimes it's better to stay friendly competitors than risk a bad partnership. FirstEnergy territory in Ohio supports multiple independent auditors just fine.