Should I work with my brother?

Question

My husband and I have a renovation company and real estate investing group in the greater Chicago area and do pretty well.

My brother lives in Orlando and is struggling financially. I have the idea to teach him wholesaling basics and provide him access to all of our tools such as software, Google business phone, etc.

From there he can work the area and see if he can make something happen.  I would love to help him financially and we can do some sort of split of profits.

This business is all about the work you put in and I would have appreciated so much someone who was there for me who already understood the business.  My husband and I primarily buy directly from homeowners and then keep the properties to flip and not so much wholesaling so this would be different for him.

What potential issues/pitfalls might there be and how can we overcome them so I can help give him this chance?

Thanks!

Frank Wong · Answer

Hard going into business with family and friends. I wouldn't do it.

Scott Mac · Answer

@Camille Johnson

Hi Camille,

Not everyone is suited to be successful at every type of job.

Personality type, lifestyle choices, daily habit choices, personal goals, likes and dislikes all come into play.

Not to say he can't or won't be able to do it, but a good first step might be to explain the whole thing to him.

Explain all of the good and the bad points of it, and what type of effort it involves and see if he is interested.

If he's not, then ask him what he wants to do, and if it's different, be supportive of that goal.

Good Luck!

George W. · Answer

It sounds like you want to help him out which is great but it also sounds like it was primarily your idea. Is he ready/willing to put in the work? If he doesn't have the drive to do this it might not work out great.

DJ M. · Answer

Mixing family and business is dangerous, especially if that family is desperate.

Ducarmel Francois Jr · Answer

@Camille Johnson

Always a good question but yet can be very tough to handle. Depending on where you are at with your business is what will allow you to decide how to move first. He is family so trust but also verify. If you are leading him into something he should take over on his own soon don’t be afraid to supervise that he is actually doing the steps. Like everything else in business have your exit strategies ready to execute if its starts to go bad or becomes a waste of your time. I hope it goes well though, have a little faith.

TIm Harstead · Answer

Money changes relationships, tread very careful when dealing with friends and family

Billy Linn · Answer

@Camille Johnson the problem with family is they commonly expect special treatment or some exception from your rules because of the relationship. If/when you don’t meet their expectations they can have negative feelings that spill over to your personal relationship with them.

I think you can do business with family but you have to communicate very well and make sure expectations are managed so things don’t get out of control. Same thing with renting to family. I try to avoid it if possible but it can be done. It’s usually just not worth risking the relationship though.

Theresa Harris · Answer

@Camille Johnson  Does your brother want to do this?  It is great that you want to help him, but he needs to want to do it as well.

Max T. · Answer

Probably no.

But if you do - pay him by the job for services. That way if he doesn't work, he doesn't get paid.

If it works out well it could expand your successful business model to another market.

Should I work with my brother?

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