Do NOT Hire a Close Friend to Work in Your Business

Here is an advice for all small business owners – DO NOT HIRE FRIEND OR RELATIVE TO WORK IN YOUR BUSINESS, if at all possible. I know it sounds harsh and may be even counter-intuitive. After all, in small business you need someone who you can trust with your money and who else would be better suited than a close friend or a relative who you know very well and can trust.

I am not arguing with the benefits of having a trusted friend or relative in the business who can watch for your good. However, you have to weigh this against the downsides that come with it. From what we have seen and experienced the downsides exceed the benefits; which calls for avoiding the situation, if possible.

So what are the problems and issues that come along with the hiring of a close friend or a relative in your business? Wall Street has good examples of the problems here. Here is my list based on my experience and that of some of our business colleagues:
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How to Make Partnership Work

Statistics show that more than half of partnerships usually end up in failure. This is a reason enough to discourage many would be partners from getting into business with partners. However, it doesn’t have to be this way. Given sufficient precautions the partnerships can not only avoid failure; but can thrive.

There are a number of successful partnerships at a larger scale that have worked well. For example, the triumvirate at the helm of Google – Sergey Brin, Larry Page and Eric Schmidt has grown the company’s sales to more than $23 billion in 2009. So what makes a partnership successful and how can you use it in your situation? Below we have identified several traits of successful partnership from our own experience and that of others.
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5 Reasons to Establish Partnership

The failure rate of businesses with partnership is much higher than those managed without partnership. So why would anyone want to get in the partnership? Despite what statistics shows there are some valid reasons why you should consider establishing partnership. As I mentioned in my previous blog there are pros and cons of partnerships. As long as you take steps to make it work you can get what you want out of partnership.
Here are 5 reasons why you should consider getting into partnership. In some cases there may be multiple scenarios depending on the situation and number of partners involved.
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Pros and Cons of Partnership

Many people would love going in the business with a partner for variety of reasons. At the same time you will find equal number of others who hate the idea of working with a partner and losing independence. What is it about the partnership that brings different reactions from different sets of people? In this article we will highlight the pros and cons of being in a partnership.

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Welcome to Angel Business Advisors Blog

Angel Business Advisors
It was more than a year ago when I sold my small business to focus on family and personal life. The journey for me had started 5 years before that and it was a heck of a ride. I saw many ups and downs – challenges, opportunities, excitement, frustration all wrapped in one package. I know most of you are thinking – “Are you talking about you or me.”

Since the time I sold my business I have been inching to go back those exciting days  – something that would give back to the small business community I dearly love and share my experience and knowledge with those who may still be enjoying the ride or thinking about jumping on board.

And so I am jumping back in the small business world with this blog along with my consulting / advising business. This blog is about small business – be it in the form of a franchise or stand alone operation. I plan to cover a variety of topics that are on top of the mind for all business owners. These include; but not limited to, financing, purchasing, marketing, operations, customer service, employee relations, and overall management of small business. In short, this blog is targeted to the Chief Everything Officer of a small business – YOU!!  If you are an existing business owner or thinking about starting a business you will benefit from this blog.

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