Tweet

Do It Yourself Joint Ventures

Written by: Robin Elliott

Article Overview: Find out why doing it yourself can be much more expensive in the long run.

Do It Yourself Joint Ventures

A man returns from a visit to his physician. On the way home, he stops by a medical center and buys a variety of surgical instruments. He drops into the local library and takes out some books. Then he buys a nurse’s outfit. When he gets home, he tells his wife, “The doctor told me I need my appendix removed. I asked him a number of questions, and the good new is that we don’t need him! Why should we spend thousands on an operation, when I could buy everything we need for a few hundred? Read these books tonight, and tomorrow you can don the uniform and operate on me. Now haven’t you got a smart husband?”

IDIOT, right? Right. Many people have this same, cheap mentality. Why do you need a Burger King franchise when your mother makes such great burgers and you can buy used restaurant equipment? Is it arrogance, ignorance or a combination of both that encourages people to make such silly choices? “I don’t need that techie to fix my computer! He charges an arm and a leg. I’ll do it myself!” Well, the techie loves to hear that, because a week later, after messing his computer up even more, that same fool will beg the techie to help him, at any cost. He will carry the techie on his back through crocodile-infested swamps and then make him tea… And perhaps the techie will charge a little more…

When my car breaks, I call Ray. When my computer breaks, I call Andrew. When I have accounting / tax problems, I call Raj. I don’t negotiate or haggle with them. And they solve my problems fast. I am consciously incompetent. There are very few things I’m really good at, and even in those areas there are many better than I am. I save a lot of time, money and frustration by paying experts. The same applies to Joint Ventures. We teach people, support them and encourage them in that area because we have 19 years of experience and we do this every single day. But, guess what? You have to pay to attend a Bootcamp or join the Forum. After that, we will support you. In Afrikaans, they say, “Goedkoop is duurkoop.” (Cheap is expensive.) Ever bought cheap shoes?

In Whistler, a fellow approached me at the end of a seminar I presented on Joint Ventures. He asked why the Bootcamp is “so expensive” at $997 for two people. I answered, “It’s probably not for you.” Why? Because he just revealed who he is. Successful people pay experts based on return on investment. How much does a shovel have to cost to be expensive when it is used to shovel gold into your car’s trunk?

Related Articles
  Joint Venture and NonDisclosure Agreements
  Advantages and Disadvantages of Joint Venture
  Funding Resources
  The Importance of Joint Ventures
  Joint Venture

Article Tags:



Related Forum Posts
Joint Ventures?? - I read this following paragraph in another business forum. Has anyone used joint ventures and had successful results? How do you go about setting up joint ventures? [quote:3vnvuml9]Joint Ventures have been, and always will be one of the most powerful marketing tactics ever, and for good reason. They are easy to set up, and they cost you nothing and if set up correctly will allow you to have more customers than you can handle! So if you promote a great product or service and want to expose it to more prospects, or you you seek ways to increase your sales, but aren't quite sure how to go about it you should definitely consider harnessing the power of Joint Ventures And the best part is that anybody can start using joint ventures to skyrocket their profits. It doesn't matter what you sell, or where you sell it.[/quote:3vnvuml9]
Re: Marketing a company - Get their contacts from someone who had been marketing to them before and do Joint Ventures with the guy
Free Ebook on Joint Ventures - Julie, you might be interested in the free ebook offer through Dollarmakers.com on Joint Ventures that has upto 30 variations for a small business to create joint ventures. Once you've read it I'd be happy to share more advanced ideas based on the book.
Different types of funding - Business Relationship Funding This is another source of funds that can be overlooked. It may be possible to introduce potential alliances to add value to both parties. It may produce an ultimate exit route in the medium to long term. Joint Ventures: Requires a legal agreement embodying the deal and another company Partnerships: Two companies collaborate with possible funding. Joint working relationships: These are an informal partnership which may be more project specific where the parties can share resources. Agencies: These can be geographical or product specific and generally incorporates a payment for the right to the agency. Distributors: Very like an agency but may not necessarily involve up front payment. Alliances: These do not require a separate company and can be embodied by a legal agreement to work together. Trade investors: Otherwise known as Corporate Partnering. This can be a good way to involve a much larger company in the business with a view to possible trade sale further down the line. Associates: This can be a loose arrangement with no fundamental commitments either way, rather like a preferred supplier. Equity Swop: Two companies exchange shares to a similar value to develop both businesses. Franchises: This can allow the business to grow without further direct investment. Licensing: This involves licensing a product or service to enable others to sell it. This requires you to own the intellectual property.
Joint Venture - How did the seminar go yesterday? Joint ventures can open up so many possibilties and are a great way to promote your products and/or services to a whole new and with the right base, to a targeted audience. Chris


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Tweet

Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!

Name:
Email:

Popular Articles

The Death of the Sales Magazine

Starting a Business a Brave Move or a NoBrainer

Coaching - An Effective Tool for Managers

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.