Glad to hear it. :) -Alex
------------------ *The #1 mistake in community building is doing it by yourself.* Join the list: http://coworkingweekly.com Listen to the podcast: http://dangerouslyawesome.com/podcast *Where will you be on April 21st <http://peopleatworksummit.com>?* On Wed, Apr 6, 2016 at 3:06 PM, Tom Lewis <[email protected]> wrote: > Thanks for the words of wisdom Alex. Prob should have mentioned that > we've been talking for almost years now, and carefully treading around each > other. I get too busy and we part company for a while and come back, then > same happens and this time I go back to them and they've not completed on > the right kind of deal yet, it's all been pretty drawn out. Just so > happens they've finally bought a massive plot to develop. > > Obv I know who the main man is as he's a household name, and his right > hand man is from Bath and we all know the same people, so in terms of > whether I know I want to work with them, yes. I've already decided that it > wouldn't be under The Guild brand, as the thing there is balancing > community with commercials (which makes sense as I'm a for profit company > operating a not for profit hub I set up), and this would be a pure > commercial operation. So I think we're talking a new brand, something more > commercial, using the tech I've built, the stuff I've learned over the past > 3 years, and the fact that everywhere this guy goes asking about who he > should work with, everyone point him back to us! > > And afraid I'm not the marrying type (unless it's to coworking ha). Never > have and never will, I'm a go it alone kind of guy. My two kids keep me > busy enough though :) > > On Wednesday, 6 April 2016 19:52:00 UTC+1, Alex Hillman wrote: >> >> Would you marry someone on the first date? >> >> You've put a lot of work into building your operation and your community. >> Along with it, your credibility. >> >> Even if the numbers look awesome, I'd highly highly highly recommend >> taking your time getting to know this person. Not saying they aren't a >> great business partner - but you owe it to yourself and your hard work to >> take your time and actually learn what he's about. >> >> It's nice to feel wanted. Just don't let it blind you. >> >> -Alex >> >> >> ------------------ >> *The #1 mistake in community building is doing it by yourself.* >> Join the list: http://coworkingweekly.com >> Listen to the podcast: http://dangerouslyawesome.com/podcast >> *Where will you be on April 21st <http://peopleatworksummit.com>?* >> >> On Wed, Apr 6, 2016 at 2:46 PM, Tom Lewis <[email protected]> wrote: >> >>> Thanks Jerome. Yes have plugged the numbers into my master spreadsheet >>> that I use to run this space (with a modification to match the difference >>> in local demand in the ratio of coworking/desks/office), and it's as you'd >>> expect- I could just propose a management fee and make £XXXXX a year, or a >>> JV and make from -£XXXX to +£XXXXXX a year. It's all risk and return isn't >>> it like any other business opportunity? >>> >>> I guess I'm trying to consider there a spectrum from pure "pay me a >>> management fee" and "let's go 50/50"- and somewhere along that spectrum is >>> a balance that works for me. I've tried to look at it from their point of >>> view- they have a building/space which they aren't going to lose whatever >>> happens (though there is the opportunity cost of rent if they let me have >>> it). They've also got pretty much unlimited access to capital. I've got >>> the skills and the proof that I can make it work. I'm guessing there's an >>> element from their side of using a workspace element to smooth the way >>> through the local authority planning process (ie "yes we're building a >>> hotel but we're replacing lost commercial space too"), so I have a value >>> there. I just don't know whether to go in at 50/50, or 80/20, or with a >>> commercial management fee plus less equity, or more equity and a subsidised >>> fee. >>> >>> Aware that all of these are things I need to figure out myself, maybe >>> just helps to think aloud! >>> >>> Cheers >>> >>> Tom >>> >>> On Wednesday, 6 April 2016 18:53:12 UTC+1, Jerome wrote: >>>> >>>> Congrats on this opp! >>>> >>>> Have you built a quick biz plan/pro forma to see what kind of #'s are >>>> required? That'll help dictate whether you'll do a JV or management >>>> agreement. In general, I think you should build in payment for your tech >>>> and you, but you might consider a base payment/management fee plus a % of >>>> the upside, whether that's thru equity or just gross revenue (a la >>>> franchises) >>>> >>>> >>>> *JEROME CHANG* >>>> >>>> *www.BLANKSPACES.com <http://www.BLANKSPACES.com>* >>>> On Wed, Apr 6, 2016 at 10:39 AM, Tom Lewis <[email protected]> >>>> wrote: >>>> >>>>> Saw someone bumped an old thread about JVs and it's prompted me to >>>>> reach out for some help/advice/thoughts about a major opportunity I have >>>>> right now. All opinions welcome! >>>>> >>>>> So, as many of you know, I run The Guild in Bath, UK- 3500 sq ft- >>>>> established 2013- 150 members. Full with a waiting list and negotiating >>>>> on >>>>> a new 12k space to grow into. My obsession is automating all the boring >>>>> stuff so my team can concentrate on making our members day from the moment >>>>> they walk in. I have never written a line of code in my life, and I use >>>>> the miracle of Zapier together with a billion cloud based tools (most >>>>> notably Nexudus and Podio). >>>>> >>>>> I've now got to the point where this place runs so well without me I >>>>> don't actually need to come here. I'm spending most of my time trying to >>>>> open Guilds elsewhere, but it's a tough call right now here in the UK, >>>>> which is having a major commercial property boom alongside a crazy law >>>>> which allows anyone with a commercial property to convert it to >>>>> residential >>>>> without needing permission- so transferring rare commercial property into >>>>> red hot residential property at a time that the UK is in a major >>>>> residential bubble. It's made property deals incredibly difficult for us, >>>>> and more so given that there's now an added dimension here in Bath- >>>>> developers are going crazy for student developments (we're a two >>>>> university >>>>> city), and even more commercial properties/offices are going away forever. >>>>> >>>>> Anyway, in the midst of all this I've been approached by someone who >>>>> wants to do something with me . This guy is major league. I can't say >>>>> who, but you will have heard of him- he's founder and head of a global >>>>> fashion brand. He came in when we opened and stayed in touch. He's got a >>>>> property fund, and specialises in creating mixed use developments >>>>> (residential, hotels, offices, leisure on one site). >>>>> >>>>> So, this guy has aquired a plot of land and wants me to come up with a >>>>> concept for a hub within a development they are proposing. The inference >>>>> is that if we can build something together in this first plot, then we'll >>>>> be popping up whenever they develop other sites. So whereas now it's a >>>>> office, a hotel, a restaurant and a cinema, in future he'd drop in all >>>>> that >>>>> plus a Guild. >>>>> >>>>> I know the plot and the area is ripe for a coworking space. The >>>>> demand isn't an issue, and the model I've built here is sound. It's a >>>>> 9000 >>>>> sq ft space, with 5m height in some areas, and that's all I've been given. >>>>> Before we go any further, he's asked me what I'd do with it and on what >>>>> basis. I know these guys have worked on shared revenue/JV basis before, >>>>> but I don't know on what exact basis, so I'm keen to come up with a >>>>> sensible proposal. >>>>> >>>>> Given all that, does anyone have any similar experience, or advice on >>>>> what to suggest. Assume I know all my numbers, so that's not an issue, >>>>> and >>>>> profitability isn't an issue. I don't have any capital, or the covenant >>>>> to >>>>> sign a straight lease, and this guy can help with both of those, either by >>>>> providing a capital contribution or guaranteeing lease finance etc. In >>>>> return, I'm guessing we should create an SPV and do a profitability/equity >>>>> split, right? What I'm not so sure on is how that should work- should I >>>>> build in payment for myself and my tech or should I leave that out as >>>>> that'll shake out in the profit share, otherwise I'm double dipping? >>>>> Should we go for rent free or would the landlord expect a rent from the >>>>> SPV >>>>> even though they are an equity partner? >>>>> >>>>> As I say, I appreciate this is something I need to get more formal >>>>> advice on, but thought I'd just throw it out there, in case anyone can >>>>> help >>>>> with ideas or advice, or if there's anyone out there who could sell me >>>>> some >>>>> time/knowledge. >>>>> >>>>> Cheers >>>>> >>>>> Tom >>>>> >>>>> -- >>>>> Visit this forum on the web at http://discuss.coworking.com >>>>> --- >>>>> You received this message because you are subscribed to the Google >>>>> Groups "Coworking" group. >>>>> To unsubscribe from this group and stop receiving emails from it, send >>>>> an email to [email protected]. >>>>> For more options, visit https://groups.google.com/d/optout. >>>>> >>>> >>>> -- >>> Visit this forum on the web at http://discuss.coworking.com >>> --- >>> You received this message because you are subscribed to the Google >>> Groups "Coworking" group. >>> To unsubscribe from this group and stop receiving emails from it, send >>> an email to [email protected]. >>> For more options, visit https://groups.google.com/d/optout. >>> >> >> -- > Visit this forum on the web at http://discuss.coworking.com > --- > You received this message because you are subscribed to the Google Groups > "Coworking" group. > To unsubscribe from this group and stop receiving emails from it, send an > email to [email protected]. > For more options, visit https://groups.google.com/d/optout. > -- Visit this forum on the web at http://discuss.coworking.com --- You received this message because you are subscribed to the Google Groups "Coworking" group. 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