[thelist] partnering

sales at iibiz.com sales at iibiz.com
Wed Jun 6 14:52:02 CDT 2001

> > I'm a freelancer, with my own business.  2 years ago I
> > "partnered" with a IT company downtown >

> So, you wouldn't do that again?

This situation really evolved out of the days when lots of people thought
that if you could install a CD-ROM, you could build a web site.  You know -
"you're so computer savvy......."  So here was basically a computer
networking company with lots of their clients asking them to build them web
sites.  I think MOST of that mentality is pretty much gone now, so I
wouldn't expect that exact type of situation to arise again.  And, yeah
sure, it got me some work I wouldn't have otherwise gotten.  Flip side is I
could have been doing more of my own marketing if I wasn't spending so much
time answering to them.

> It's important to have these pitfalls validated as it means I do need to
> serious about some of these issues.

You NEED to get serious about all those things, partnership or not.

> So, how does this work? A percentage of the total proposal? A flat fee? At
> the beginning or end?

My contracts (either thru me directly or thru this 3rd party) call for 1/2
of the quoted amount up front, and half upon completion.  Nothing goes live
until the second half is received.  (And yes, that means spending lots of
time with the client to come up with an accurate quote.....and padding it
some for the inevitable changes they'll make!)

So if I had agreed to pay someone a referral fee, I would pay them the full
amount out of the initial payment and be done with it.  These things can
drag on, and the last thing you want is HER bugging you about when it's
going to be done so she can get the rest of her money.  I would try to set a
flat referral fee.  Really.  If you do a percentage, she may expect to get
that percentage of any future business that arises from that company as
well.  Could get nasty.

> > depends on exactly what SHE does..........care to share?
> PR.

Hmmmm........Is she familiar with your work?  Is she an independent or part
of a firm?  I only ask because it could be against "corporate policy" to
give referrals for any kind of compensation.

Call her up!  Set an appointment to discuss "future business possibilities".
And then prepare a "pitch" for her, equivalent to what you would pitch to a
possible client.  Why you?  Why SHOULD she refer you?  Remember, she WILL
hear back about it if they aren't happy with your work...

Best of luck,


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