This isn't the feel good kumbaya that might be popular, but I'll say this on the subject of division of profits: I started my WISP by myself. All of you who started with your own checkbook and sweat know what that took. My family sacrificed as I worked massive hours. I did everything from accounting to server builds maintenance to installs and tech support. All while I was making about 1/3 of minimum wage while I did it. We lived off my wife's school teacher salary.
I did that for a pretty short time as we had some early success and after a couple of years I started hiring people. By the time I sold I did what I wanted when I wanted. The people I hired I paid better than average hourly wages for the job and gave bonuses paying them for their work as they did it. I never asked any of them to sacrifice like I did nor did they offer. I took all the risk. If we failed I was the one in financial ruin. They could all walk away inconvenienced but fairly unscathed while I was personally liable for all company credit cards, vendor payments, carrier contracts, etc. And of course you can tell where this is going. Myself and the other shareholders kept every dime and I sleep fine at night. I worked to help get all the best employees jobs. Sure some were angry because they somehow felt they deserved something. Those were also the same employees I could have and probably should have already gotten rid of as they were problem children. Risk and reward. I took the risk, I get the reward. You want rewards? Take the risk. I did give a few people bonuses, help setup two in related businesses without loans (funneled business their way) but it was not any kind of % or really all that significant.I did that because they had been good people first, hard workers second, and last but not least, made my life easier when we were doing our thing. I am a capitlist and make no apologies for it. On Sun, Aug 23, 2020 at 6:16 AM Matt Hoppes < mattli...@rivervalleyinternet.net> wrote: > Now that I think about it - I wonder if my plan of C would be a way to > reduce income taxes too on the amount received? > > Either by funneling the money through the company and paying the employees > or having the buying company write a check to each of the key employees. > > I’m not sure which would yield better results for everyone. > > The way I look at it though - I don’t have hard partners. That often leads > to problems. But everyone who sticks with the company and especially if > they make a career out of it should be compensated nicely - both each year > out of proceeds they helped make as well as out of a major sale if it ever > happens. > > If anyone here has ever worked for a company where the owner sold and got > 2 million and you had worked there for 10 years building it up —— well, how > did you feel? Slap in the face. > -- > AF mailing list > AF@af.afmug.com > http://af.afmug.com/mailman/listinfo/af_af.afmug.com > -- Lewis Bergman 325-439-0533 Cell
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