Great points Prashant. So I have to admit, I refrained from responding 
previously because I was a little put off by the tone of the original email. 

"...My frustration ,not being a programmer, is that many developers are not as 
qualified as they think or pretend to be. Many web developing companies are 
just looking for large corporate dollars and don't seem to put realestic 
timelines or bugets together."

While there is no denying that this is true, the flip side is that many 
entrepreneurs have great ideas, but don't understand the complexities of 
software/application development. Unclear feature sets and scope creep are 
common. Often, they want to see something tangible immediately and they do not 
understand the time it takes to build the necessary infrastructure. In 
addition, sometimes "stuff" just happens. Unexpected issues. Difficult 
interactions. The integration of disparate systems. Developing in today's 
environment is exploratory by nature. There is a constant hum of new 
technologies and APIs.

My point is, there is a delicate dance that occurs between the two parties. So 
as an entrepreneur, you should do your homework first. Though it may be 
difficult, try to understand what technologies the project will require. Ask 
for proof of experience (portfolios, detailed project summaries, references, 
etc.) and determine if it lines up with your needs. Ask trusted developer 
colleagues to help you evaluate potential partners. Draw up a legitimate legal 
contract defining the responsibilities and benefits to all parties.

My 2 cents.

kah





On May 26, 2011, at 3:13 PM, Prashant Sheth wrote:

Oh.. 2 more things to add:

1.  Form for this arrangement: no it'd have to be a custom contract
2.  Exit strategy: This should be pre-negotiated and written in on the contract 
in my recommendation to avoid conflict later.
3.  Guarantee delivery: Your compensation should be against benchmarks and 
delivery, this is the only way to have a "contractor" relationship of any 
guarantee.  Just as, as a biz-person you don't want to trust someone and pay 
them up-front, a programmer too doesn't want to do all the work for free and 
get ripped off..  The risk unfortunately has proven to be both ways. so that 
relationship of trust needs to be built over time.

Good luck on your venture,
Regards

Prashant
CEO, SP
MyOrgWorks
512.917.2308

On Thu, May 26, 2011 at 3:03 PM, Prashant Sheth <[email protected]> 
wrote:
WOW, the group's been awfully quiet on this.  Ok, I'll take the fall here.

I've seen this request often (as a programmer, web-guy, IT, more), and even 
more often, it falters and goes away.

To answer this, here are the questions to consider:

#1:  why would someone have this request?
#2:  are ALL your basis covered: admin, legal, marketing & sales, support?
#3:  once you've done this, what is the value proposition to your programmer?  
what are all the things u are looking for?
#4:  what is the market value for these services and why can't u afford it?
#5:  if the person is going to defer their compensation, what's their upside? 
is it fair? they are foregoing compensation and benefits for doing the work 
with someone else..  
#6:  what's the real upside-/ risk to the person: is it worth the upside?
#7:  what happens if the biz fails not due to that programmer -person?
#8:  if the compensation was reversed, i.e u were paid THAT offer for THAT much 
work, would you take it?

If you come from a point of fairness, generally it'll work.  Don't understimate 
your programmer, and don't try to get something for nothing.

Too often biz "idea-generators" will come from a point of view "oh this idea is 
so unique.. NO ONE has done it..." chances are .. its been done about a dozen 
times.. and about a dozen people are doing it at this time.

The idea isn't the money, the execution is... that's why a strong executive 
team is what is always looked for.

if you are ONE person telling a programmer that "build-it and the customers 
will come" you are not reliable.. and the programmer is risking all.. GENERALLY 
(not always)..  if you have a team, and some measure of success.. then there's 
a better position of reliability.  The programmer's goal and deliverables are 
tangible.. but as an "idea-person" your deliverables aren't defined.. how do u 
build a business?

Finally, an NDA is about the most absurd thing in the world, if u are a startup 
u do NOT have the litigation $ to get someone on an NDA..  its MOSTLY the 
execution of the idea that will create a market winner..

This would be a starting point for a discussion.. after this.. its all 
fair-game and there's no limits to the ways things can/will work out.

Regards

Prashant


On Mon, May 23, 2011 at 3:36 PM, Greeeenr <[email protected]> wrote:
I have and have had some great ideas. Most have gone on to be
developed by others and bought by bigger companies.
My frustration ,not being a programmer, is that many developers are
not as qualified as they think or pretend to be.
Many web developing companies are just looking for large corporate
dollars and don't seem to put realestic timelines or bugets together.
Having the Associations and sales experience I would like to partner
with a web designer/designors and create these projects with an exit
stradegy in place to sell and move on.
I would appreciatte any ideas of how to
-Partner fairly and not lose your idea
- ensure I am involved with someone who can  deliver a complete
product
- is there a form for this type of arrangement ?

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