Note this article is continued from “The Goal of Business – Part One” and “How to Turn Your Business Into a Money Machine – Part Two.”
There are three assets you must have in your business for it to become a money machine. These assets are marketing, systems and people. Without these three assets, you’re business will never be a money machine. Remember, the goal of a money machine business is to provide time freedom, not wealth. In this article, we’re going to spend some time on partnerships. A good partnership may be a strategy you can use to turn an existing business into a money machine, or to start a new money machine business. From where I see things, we all have two partnership opportunities:
1. Partner in your existing real estate business.
2. Partner to start a new business inside or outside of real estate.
A good partner can make a huge difference in any business. And if you stop and think about your current business, you might realize that a strategic partner might be a fast way to completely transform your business. For example, you might have a strong buyer business with a few buyers agents. You might consider partnering with a someone who has a strong listing business. This way, your two strengths compliment each other. Or maybe you have great systems inside your business, but struggle with marketing. Could you partner with someone that is great with marketing, but has poor systems?
Now I know what you’re thinking…
Partnerships? No way…they’re a nightmare!
Before you write off this idea on partnerships, it might be helpful if you shift your perspective a little bit. When most people start a partnership their goal is to make a ton of money….get rich. I now believe this is the major cause of all partnership problems. Each person in the partnership wants to take as much from the partnership as possible. The focus is on $$$ and if we haven’t learned it by now, greed is not good. Greed causes many problems and can rip a partnership apart pretty quickly.
If we shift our focus away from $$$ and instead focus the partnership on time freedom for the partners, the entire partnership dynamic changes. More time, not more money.
The goal of a money machine business is to provide time freedom and a partnership may be the fastest way to have time freedom in your business.
We have a family friend who started a home design and decorating business in Pennsylvania last year. She started this business with a partner and the business has taken off. In fact, they’ve already outgrown their current space and are looking for something larger. As this new business has grown, each partner has been able to take several vacations (three or four a year) with their families. This is because they’re able to leave their business behind knowing that money will come in the door and all problems will be handled in while their gone. Their business has become a money machine and the main reason is the partnership.
Two of my most successful coaching students Tom and Nick Karadza, who built a multimillion dollar real estate brokerage from scratch, are brothers who partnered together. Neither had any real estate experience when they started their partnership. Today, they have hundreds of clients, a large team of agents and multiple income streams. Their real estate business is an amazing money machine.
Another coaching student, Josh Schoenly, partnered with Ryan Hartman and their information marketing business literally took off. Both partners add tremendous value to the partnership and both partners can leave the business without worry. They now have a very valuable money machine business.
Now I’m not saying that you should run out and start a partnership today. I’m simply suggesting that you be open to the possibility of one or more strategic partners. My guess is that you have a few strategic partners at your finger tips right now and may not realize it. Good partners can be found just about anywhere. You simply have to pay attention as you do go about your normal day. Or block an hour for “partnership possibilities” and make a list of everyone you know in one column. Now in the column next to it, list their skills and think if the person might make a great partner. When you’re finished, you’ll have a list of a few good potential partners.
P.S. Some of the best businesses in the world started as little partnerships. Some of these include Apple, Microsoft, Google, Hewlett-Packard, Ebay, Intel, Procter & Gamble, Yahoo and… Ben & Jerry’s. There is no way I’m leaving Ben & Jerry’s off the list of great partnerships. Their ice cream is da bomb.