Speaker 1: Hey, Hey, bafam, It's Mandy and we have some exciting
Speaker 1: news for y'all. We have been nominated for our third
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Speaker 1: now in the running for the People's Choice Award for
Speaker 1: Best Business Podcast Individual Episode, and we need your help
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Speaker 1: link in the description of this episode or head to
Speaker 1: our website at Brownambition podcast dot com. Winning this award
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Speaker 1: last year and it was such an incredible opportunity, such
Speaker 1: an incredible acknowledgment of how powerful the Brown Ambition fam
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Speaker 1: people and continue to provide the valuable insights and advice
Speaker 1: that y'all love about personal finance and career development. So
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Speaker 1: you so much for your support.
Speaker 2: I'm like, I'm going to a bunch oft needs to
Speaker 2: break down. Girls. Okay, wait right up, wait, okay, It's
Speaker 2: time for the b a Q a ay a q a.
Speaker 2: What you say the b a q a with mandad
Speaker 2: b a q a with today to b a q a.
Speaker 2: You know we do Brown Abision question and answers. You
Speaker 2: have questions, we have some answers. Although we are not
Speaker 2: your mama, We're not your financial advisor, we're not your doctor,
Speaker 2: your attorney. We're just two smart brown girls with opinions
Speaker 2: that you should take with the smallest grain of salt
Speaker 2: and then leading to the people that you pay honey. Okay,
Speaker 2: but yeah, if you have questions, please ask us. Go
Speaker 2: to Brownbision podcast dot com click ask us anything about business, career, entrepreneurship, life, child.
Speaker 2: We just be talking. We've got some career questions to day.
Speaker 2: Do you want to the first one? You want me
Speaker 2: to do a mandra.
Speaker 1: I'm happy to read the first one because I feel
Speaker 1: like a second one's got your name writ in all
Speaker 1: over it. Okay, we got a juicy like career slash
Speaker 1: career business combo today. I can't wait to get into these.
Speaker 1: But let's start with listener Christina, who says, hello, ladies,
Speaker 1: I am an eager, twenty six year old in the
Speaker 1: beginning stages of entering my professional career. I'm currently an
Speaker 1: assistant manager at a local credit union in Colorado, and
Speaker 1: I want to become a branch manager in the next year.
Speaker 1: I love listening to your podcast and I want to
Speaker 1: hear your thoughts on a decision I've been contemplating for
Speaker 1: the past year. I've got my bachelor's degree in twenty
Speaker 1: eighteen in organizational instrate teacher Communications, but have recently been
Speaker 1: considering pursuing my MBA. The company I work for has
Speaker 1: an amazing tuition reimbursement program and they'll cover ninety five
Speaker 1: percent of the cost if you get a's in your classes,
Speaker 1: with the stipulation being that you sign a retention contract
Speaker 1: to stay on two years after your final class. This
Speaker 1: is an incredible opportunity and I could get my MBA
Speaker 1: for nearly nothing. I struggle on whether or not it's
Speaker 1: worth it. I've spoken with a couple of higher ups
Speaker 1: at the company who do not hold degrees higher than
Speaker 1: a bachelor's and why it's not and while it's not
Speaker 1: required for me to move up in management, I worry
Speaker 1: that if I ever wanted to branch out into other industries,
Speaker 1: I would have a hard time competing with others who
Speaker 1: may already have their MBA. Since my experience would only
Speaker 1: apply to the financial industry and I lack knowledge of
Speaker 1: general business operations for other industries, I worry that I
Speaker 1: may limit my growth potential. Do you believe it would
Speaker 1: be beneficial to obtain my MBA while gaining management experience
Speaker 1: to stand out in the event that I wanted to
Speaker 1: pursue other opportunities with higher pay or is there little
Speaker 1: to no benefit in this day and age to pursue
Speaker 1: a graduate degree? Kind regards, Oh, she does work for
Speaker 1: a financial institution. Kind regards Christina.
Speaker 2: So, baby Chris, we can't call you baby Chris because
Speaker 2: you're twenty six.
Speaker 3: Yeah.
Speaker 1: Oh, but this is great because like but also like
Speaker 1: has a whole plan and it's already thinking strategically. Yeah, nba,
Speaker 1: I mean it's hard to like. Also, like ninety five percent,
Speaker 1: that's a lot of your tuition covered. And if you
Speaker 1: are committed to the course and you think it would
Speaker 1: be like a strategic I agree with you. I almost
Speaker 1: feel like when you compare yourself to older people in
Speaker 1: your industry, they had different rules that they played by,
Speaker 1: they got hired at different times. And also you work
Speaker 1: at a bank, so I'm guessing. I'm guessing that they're
Speaker 1: not men of people of color, and they they may
Speaker 1: have had connections to get where they are. I just
Speaker 1: feel like you definitely want to think beyond the bank
Speaker 1: where you're at, because I doubt you'll stay there for
Speaker 1: your whole career, and in that case, maybe an MBA
Speaker 1: would be a good strategic move. And you have to think,
Speaker 1: will I be comfortable staying here for the duration of
Speaker 1: the program to that's like that's the coat.
Speaker 2: Is might but it is, you know, it is golden handcuffs.
Speaker 2: So I like what you said many because it is
Speaker 2: kind of like, if she thinks a bit from a
Speaker 2: broader scope of her life, she has to ask herself,
Speaker 2: does the NBA make sense for like what is your
Speaker 2: overall desired outcome? Like I'd like to one day explore
Speaker 2: dot Will the masters help with that? You know, it's
Speaker 2: really not about the bank, honestly, It's just that you
Speaker 2: get them to pay for a thing potentially that will
Speaker 2: enhance your ability to make wider choices later maybe or
Speaker 2: maybe not. Because how long is the NBA program made?
Speaker 2: Like two years, a couple of years, three years?
Speaker 1: Yeah, some might with three So.
Speaker 2: You figure two plus two, so you're twenty four, so
Speaker 2: by thirty you'll be free to fly. Is that something
Speaker 2: you're you're opening. I don't know that there's a right
Speaker 2: or wrong other than to choose based upon exactly where
Speaker 2: you are right now. To me, that would be short
Speaker 2: sighted to be like at twenty six, what do I
Speaker 2: want to do? But really asking yourself the bigger picture,
Speaker 2: like beyond this, what would I like to do? And
Speaker 2: will an NBA be used to me?
Speaker 1: Because no, I mean I would say, if your dream
Speaker 1: was to start a business someday, I would say, you
Speaker 1: don't necessarily have to have an MBA to create a business,
Speaker 1: Like if that's what you're thinking. I think MBAs really
Speaker 1: are about reaching parity with like competitive like the competitive
Speaker 1: nature of people in that industry, like business industry, financial industry,
Speaker 1: And if you are thinking you have a long career
Speaker 1: in financial services, then you know, I feel like, yeah,
Speaker 1: it could make sense to have your MBA, especially if
Speaker 1: it's going to help you stand out on like a resume,
Speaker 1: you know, if it's like the one thing that they'll
Speaker 1: they'll filter for before they hire anybody, which I think
Speaker 1: is short sighted but probably still happens. I do want
Speaker 1: to say about this whole golden handcuff thing is you
Speaker 1: don't have to look at it as if you are
Speaker 1: trapped there, because one of my favorite, you know, lessons
Speaker 1: that I teach in my negotiation masterclass is that you
Speaker 1: are able to negotiate. Like, so, let's say you got
Speaker 1: a job offer from another bank and you were like,
Speaker 1: I'm ready to sign this offer letter. However, I'm going
Speaker 1: to be on the hook for these tuition payments that
Speaker 1: I've had for the past years. They may give you
Speaker 1: a signing bonus to help you cover that payment and
Speaker 1: have you do the same thing in return, sign some
Speaker 1: kind of retention agreement, you know, which tip is very
Speaker 1: typical about signing bonuses in general. There's maybe a year
Speaker 1: or two years or whatnot, but you don't you're not
Speaker 1: entirely trapped by that because you can potentially negotiate and
Speaker 1: get your future another employer to like cover it for
Speaker 1: you so that you're okay walking away. So if that
Speaker 1: gives you a little bit of comfort knowing that you
Speaker 1: have that bargaining chip, Obviously nothing is guaranteed, but I
Speaker 1: have to assume that in an industry like in the
Speaker 1: banking industry, and I have negotiated big fat signing bonesses
Speaker 1: myself in banking, and I mean they got the money
Speaker 1: and if they want you, they'll be.
Speaker 2: Yeah. I like that. That's more. I never thought about
Speaker 2: that you can kind of negotiate that, or even negotiate
Speaker 2: how many years? What about one? What about six months?
Speaker 2: Or or like negotiate with the new place to say,
Speaker 2: can you pay that off for me? It's almost like
Speaker 2: you know you I'm from, Like if you leave your
Speaker 2: phone carrier or whatever, they're like, we'll pay off your
Speaker 2: exactly your contract, yeah, exactly.
Speaker 1: Or like when you negotiate a lease, if you agree
Speaker 1: to a like if you get them to lower the
Speaker 1: rent in exchange, they may ask you to sign a
Speaker 1: two year lease instead of a one year lease, you know,
Speaker 1: or increase the rent, but reduce my lease to one
Speaker 1: year because I don't or a month a month or
Speaker 1: make it month month a month or something like that
Speaker 1: is negotiable.
Speaker 2: Boo.
Speaker 1: Let me see, I was just talking to one of
Speaker 1: my mandy money makers today, who first of all is
Speaker 1: just like professionally educated. She just is about to get
Speaker 1: her doctorate in philosophy. She had a master, she has
Speaker 1: an MBA and For her, it was like the outside
Speaker 1: pressure to get an NBA, and then when she was
Speaker 1: in the program, she was like, this is not I'm
Speaker 1: already I already have so many years of business experience
Speaker 1: and I'm realizing the NBA is not really enhancing my
Speaker 1: like understanding of my company right now. So I would
Speaker 1: just say, like, you know, you really have to be
Speaker 1: doing it for the right reasons. I would pick your
Speaker 1: program carefully and make sure that it, you know, has
Speaker 1: the courses and has the reviews, and maybe even talking
Speaker 1: to alumni to see, you know, if they thought it
Speaker 1: was helpful. So that because they're not all created equally,
Speaker 1: and you want to pick a program that you know
Speaker 1: qualifies as an MBA of course, but may have you know,
Speaker 1: maybe able to teach you beyond just like generic business
Speaker 1: strategy that you could use later in your career and
Speaker 1: just like squeeze as much juice out of that orange
Speaker 1: as you can.
Speaker 2: So like my sister Tracy, for example, she has her NBA,
Speaker 2: but because she had her bachelor's in finance, she was like,
Speaker 2: I've always wanted to learn marketing. So she got her MBA,
Speaker 2: almost like a dual NBA, but it was like the
Speaker 2: core component of it was marketing, and then the subcomponent
Speaker 2: was finance because she was like, she was really interested
Speaker 2: in that so just you know, beyond where she was working,
Speaker 2: Like she worked for a financial company, but she was like,
Speaker 2: if they're going to pay for it or help, That's
Speaker 2: why she did it that way, because she was just like,
Speaker 2: this is something I'm interested in to grow beyond where
Speaker 2: I am. And you know she's not working with them anymore,
Speaker 2: but she still has this this education that she uses
Speaker 2: for her PR business now. So that's yeah.
Speaker 1: A good point.
Speaker 2: I like it.
Speaker 1: I like it all right, Miss Christina, thank you so
Speaker 1: much for the question. Thanks for listening. Shout out to Colorado.
Speaker 1: Let's take a quick break and we'll be right back
Speaker 1: with a really juicy question. You guys want to just
Speaker 1: trying to get me sued, trying to get you to
Speaker 1: share some tea. That's all I'm saying. Spill some tea.
Speaker 1: All right, be right back, y'all, all right, take that away.
Speaker 2: We're back. We have a question from anonymous. We're gonna
Speaker 2: call you BBG Beautiful black Girl because she says, hey,
Speaker 2: beautiful black women. You know what, We're gonna call you
Speaker 2: beautiful back woman. BBW, Hello, beautiful Black women. First, let
Speaker 2: me say that I love your show and I'm one
Speaker 2: of your biggest fans. I'm also want of Tiffany's mentees.
Speaker 2: Hey girl, if you want to be a menteem go
Speaker 2: to my mentor Tiffany dot com. It's ten bucks a month,
Speaker 2: you know. And I help people with their businesses. During
Speaker 2: the pandemic, I formed a limited partnership consulting business with
Speaker 2: one of my closest friends. When we worked, we worked
Speaker 2: on our first big contract together. I realized that we
Speaker 2: did not work well together. Our work stars caused a
Speaker 2: lot of conflict, and so I stopped bringing in contracts
Speaker 2: through this business. I have another business that I solely own. Ooh,
Speaker 2: sound like me girl. Recently, I've decided I wanted to
Speaker 2: grow the consulting business, but I know that I cannot
Speaker 2: work with my friend. Therefore, through several very difficult conversations,
Speaker 2: good she agreed to let me buy her out of
Speaker 2: the business. Now that I have done the hard part,
Speaker 2: I'm not sure what the next best step is. Should
Speaker 2: I hire Laurier to draw leader paperwork, dissolve the business
Speaker 2: and reform it as a single member LLC, or some
Speaker 2: other options? Thanks advance for your help. Chaw. Okay, let
Speaker 2: me step lightly because I may or may not have
Speaker 2: just done this. So remember what my coll I can't
Speaker 2: say it about what I can say, not with me.
Speaker 1: Let's speak.
Speaker 2: So no, no, not Mandy girl, I said, so no, no,
Speaker 2: it was not Sandy. So I'll say this literally, this
Speaker 2: is the process that somebody named Biffany might have one through. Okay, right,
Speaker 2: so man, it's like gotcha, gotcha, It's like Biffy so one.
Speaker 2: So first and foremost, you did the first part, which
Speaker 2: is so great, which is you had the difficult conversations.
Speaker 2: If you are in partnership with someone who is a
Speaker 2: friend or otherwise and you're thinking you want to not
Speaker 2: be in partnership, the key is before you bring the lawyers,
Speaker 2: you have to have a series of conversations. I did
Speaker 2: not like, thankfully, I have a well this girl named
Speaker 2: Biffany that I don't know. She had a really great
Speaker 2: business coach, really coached her the same had these deep
Speaker 2: heartfelt conversations because you need to get on the same
Speaker 2: page before you get legal in so I'm glad that
Speaker 2: you did that part, so bravo. And they're meant to
Speaker 2: be hard you know, but thankful this is your friend.
Speaker 2: And Biffany also cared about her and still cares about
Speaker 2: her fictational partner, that's first and foremost. And then when
Speaker 2: that happens, then too you have to get on the
Speaker 2: same page about the cost of the like how much
Speaker 2: is the business worth? And so you want to get
Speaker 2: it wasn't as expensive you were thought. You want to
Speaker 2: get a one of those things called evaluation, right because
Speaker 2: you want because here's why. Let's just say you're like, oh,
Speaker 2: I just agree, just give me two hundred dollars right,
Speaker 2: But then later your potential partner can come back and say,
Speaker 2: hm hm, I felt like I got was ripped off.
Speaker 2: So having an official valuation on the books is really critical.
Speaker 2: There's a company called Scaler. Let me see if I
Speaker 2: make sure I spell it rant who does evaluation. And
Speaker 2: what I like about Scaler is that they've done like
Speaker 2: dollar like billion dollar companies. S C A L. Right,
Speaker 2: is a Scaler Scaler valuation company and that's all they do.
Speaker 2: You value is I mean, Biffany, well, I didn't do
Speaker 2: this this person like you know, Biffany might have you Scaler,
Speaker 2: So it's SCA L A R. So I had heard
Speaker 2: that Tiffany had used this company called Scaler, and they're great.
Speaker 2: That's all they do. They've done like Dollar Shape Club,
Speaker 2: They've done like some of the biggest companies that you've known.
Speaker 2: And it was a few thousand dollars. It wasn't like
Speaker 2: thirty thousand dollars. You know, that's what I thought valuations cost.
Speaker 2: And it took maybe like a two weeks. You know,
Speaker 2: that's what Biffany has said. And so you know, so
Speaker 2: having that on in paper and then literally what's so great?
Speaker 2: I mean, hopefully you have a financial person that can
Speaker 2: pull up all the financial components because they're going to
Speaker 2: want to know about the business in total, because they're
Speaker 2: gonna want to know, like you know what, had They're
Speaker 2: really going to look at the last year's worth of business.
Speaker 2: They're not going to go back two or three years.
Speaker 2: So if you were making big money three years ago,
Speaker 2: they're like, yeah, but what's happening now. They need a
Speaker 2: real snapshot of what's happening now. And if there's any
Speaker 2: contracts that like leading into the future, they're going to
Speaker 2: use that. Then they're going to look at your industry
Speaker 2: and say, there's a multiple So in the finance industry.
Speaker 2: It used to be like kind of like what your
Speaker 2: net income is, multiple multiple times ten, but the finance
Speaker 2: industry has been a little shaky, so they don't multiply
Speaker 2: times ten like they used to. And so but you're
Speaker 2: the scaler will know and they'll say and they'll also
Speaker 2: compare you to other similar esque type of companies to
Speaker 2: say this company is worth this, and that's how based
Speaker 2: upon your numbers, based upon what you do, based upon
Speaker 2: the multiple, and based upon the comparable companies. This is
Speaker 2: how we come to you with your numbers. Now here's
Speaker 2: the thing you will there's gonna be two numbers. You're
Speaker 2: gonna get a number is if you were a publicly
Speaker 2: traded company, which that number will probably be higher, and
Speaker 2: then you'll get a number as the fact that you
Speaker 2: are not a publicly traded company, so that number is
Speaker 2: gonna be lower because you know, they all call it
Speaker 2: like a marketability penalty because it's like you're not publicly traded.
Speaker 2: So I can't just say each is your stock is
Speaker 2: going to be worth or whatever, because you know, maybe
Speaker 2: the company has your face on whatever it is, and
Speaker 2: you know they're like, well, we can't quite say you're
Speaker 2: worth ten million. We got to say you're worth six
Speaker 2: because it's just a privately traded company, and that's going
Speaker 2: to harm your ability to sell this company and actually
Speaker 2: get ten million dollars, if that makes sense. So they're
Speaker 2: going to give you both of those numbers. So you're
Speaker 2: going to want for you and your business partner to
Speaker 2: be talking with whatever valuation company that you use, so
Speaker 2: you know, like no one's ever fully happy, but at
Speaker 2: least it's a third party. This is what they do.
Speaker 2: It can stand up in court. We're all on the
Speaker 2: same page. You know. Some people get multiple valuations, you know,
Speaker 2: but like I said, that was a solid company at
Speaker 2: least for you to go start. Okay. So then once
Speaker 2: you get your evaluation, then you and I don't know,
Speaker 2: if you guys are fifty fifty, thirty, forty, whatever, then
Speaker 2: you that's basically the math, which is you know, worth
Speaker 2: fifty to fifty. So they told us the company is
Speaker 2: worth a million dollars, I have to pay you five
Speaker 2: hundred thousand, and you can figure out whatever that payment
Speaker 2: looks like. Is it going to be over a period
Speaker 2: of a couple of years, is it going to be
Speaker 2: right away? Whatever that is. But this is something to
Speaker 2: keep in mind too. You also have to keep in
Speaker 2: mind that if there's money in the company that is
Speaker 2: not a sign for specific things, that money is up
Speaker 2: to be divided as well. So I'll give you an example.
Speaker 2: So for Biffany, I had heard that she had six
Speaker 2: months worth of savings, and at first she was like, girl, no,
Speaker 2: those savings is for the company. One day and it's like, no, no, No.
Speaker 2: Any savings in a company really is just delayed payment
Speaker 2: to its owners. Because really, if I have money in
Speaker 2: a company, like for example, Manny and I will have
Speaker 2: money in our account for brand ambition, and just because
Speaker 2: we haven't spent it, right, it doesn't mean that we
Speaker 2: have not paid taxes on it, like we have to
Speaker 2: pay tax on whether we spend it or not. But
Speaker 2: we like to have a little bit of savings because
Speaker 2: we have some things to pay, so that money has
Speaker 2: already been taxed, so legally and morally and rightfully, that
Speaker 2: money is yours and your partners. So you're going to
Speaker 2: have to like so if you have if you have
Speaker 2: money set aside for operations, because it's okay to say
Speaker 2: I have two or three months for operations for these
Speaker 2: specific things, that's fine, that's not money you split. But
Speaker 2: if it's just savings for savings sake, then know that
Speaker 2: that money outside of what you owe them is going
Speaker 2: to go to that person like their half or whatever,
Speaker 2: and then you will also have to pull out your half,
Speaker 2: you know. And so like just keep that in mind,
Speaker 2: you know. But also too equipment. So Biffany, for example,
Speaker 2: I heard that she had like cameras and these like
Speaker 2: maybe twenty thousand dollars worth of equipment. The equipment had
Speaker 2: to also be accounted for, and then the value of
Speaker 2: the equipment had to be you know, like split if
Speaker 2: it's fifty to fifty or whatever. You know, So just
Speaker 2: keep that in mind. So the part part about it
Speaker 2: is that like all of a sudden, you know, you
Speaker 2: kind of pull money out of the company. Like I said,
Speaker 2: I don't know if you have savings that you might
Speaker 2: be like damn. But the good part is for Biffany,
Speaker 2: for example, there was enough money pulled out that that
Speaker 2: pull out money was enough to pay. So Biffany didn't
Speaker 2: actually have to come out of her own pocket. She
Speaker 2: just used the money that she received from the savings.
Speaker 2: So it was like, oh, you know, that's why I
Speaker 2: had her or she had done.
Speaker 1: I was gonna ask, you don't have the money to
Speaker 1: buy someone out, like, how does that work?
Speaker 2: So one, if you had that savings, or you can
Speaker 2: work on a payment plan where it's like, so I've
Speaker 2: had friends like my friend him and his brother they
Speaker 2: split and the brother had to for five years pay
Speaker 2: him like annually, you know, like you know, monthly, but annually,
Speaker 2: like until he paid it was like maybe it was
Speaker 2: like five hundred thousand dollars or whatever. So if you
Speaker 2: don't have the money out of pocket like Biffany supposedly
Speaker 2: did because she was able to pull it from the company,
Speaker 2: then you can set up a payment plan and basically
Speaker 2: let the new the company you're keeping help to generate
Speaker 2: that revenue. So that's that's another thing. So once you
Speaker 2: figure out, okay, this is what the company's worth, this
Speaker 2: is our split, we're on the same page, then you
Speaker 2: bring in the lawyers because lawyers are expensive and you
Speaker 2: want as little back and forth as possible, so you
Speaker 2: want to be like, we're on the same page, and
Speaker 2: it would be great for you. Your attorney. They definitely
Speaker 2: need an attorney even and they're like oh no, no, no, no, no,
Speaker 2: they need to have an attorney too and do a
Speaker 2: recorded zoom. So this is also recorded, you know, like hey,
Speaker 2: any last little tweaks or whatever, like what about this
Speaker 2: and what about that? You know, it's all on recording,
Speaker 2: and then we've all you know, it's all been agreed to.
Speaker 2: Contract is drawn up. It's important for both attorneys to
Speaker 2: touch the contract. So if your attorney starts the draft
Speaker 2: allowed their attorney to make the tweaks, that makes sense
Speaker 2: because you were thinking about a year from now, ten
Speaker 2: years from now, whatever, is like, well, that wasn't a
Speaker 2: fair contract. How Because both attorneys touch the contract, that's
Speaker 2: really important. It should not just be one attorney doing
Speaker 2: all the tweaks, you know. So that's something really important too.
Speaker 2: And then so the worst case scenario is really shutting
Speaker 2: down the business because as you know, like if you're
Speaker 2: wunning contracts and things like that, that you like to
Speaker 2: see businesses in business for two years. So ideally you
Speaker 2: don't want to shut down the business. And so you
Speaker 2: know that's only if you know whatever, you guys can't
Speaker 2: agree and it's like, well, we just got to shut
Speaker 2: this thing down. I have to just restart as something else.
Speaker 2: But you don't have to shut down the business. If
Speaker 2: you buy this person out, you do what you're supposed
Speaker 2: to do, then you can keep the business. And then
Speaker 2: it just gets like, you know, I don't know, like
Speaker 2: your your attorney will do this for you, Like my
Speaker 2: business attorney will refile and say, you know, this is
Speaker 2: Tiffany's Biffany, that's what I had her business total, and
Speaker 2: you know, like so all that stuff will be will
Speaker 2: be fixed on the legal back end. Your attorney will
Speaker 2: do that for you as well as your CF, your
Speaker 2: what whoever your financial person is. But that's kind of
Speaker 2: like the process. And then you know, you pay over
Speaker 2: a series of years, or pay right away or whatever
Speaker 2: it is. It's really important to let the person receiving
Speaker 2: the money decide. So let's just say it's at the
Speaker 2: end of the year. They're not going to want to
Speaker 2: take a big lump sum at the end of the
Speaker 2: year because they don't have enough time to write it off,
Speaker 2: you know, so you don't you want to integrate your
Speaker 2: financial whoever your financial person is on the team, your accountant,
Speaker 2: you know, to see making sure that like when it
Speaker 2: comes to taxes, what does that look like? There's not
Speaker 2: really any tax implications for you, the buyer, but certainly
Speaker 2: for the person receiving the money. They have to sit
Speaker 2: with their account and figure out what that all looks like.
Speaker 2: And then you just make sure you have her airtight
Speaker 2: contract that basically says that you've accepted this money is done,
Speaker 2: though you cannot come back for more money because in
Speaker 2: case we blow up, you cannot come back for equity
Speaker 2: and nothing. It's done, done done. Everybody agrees, this is
Speaker 2: the evaluation. Everybody's on the same page. Like I said,
Speaker 2: have one attorney draw it up and the other attorney
Speaker 2: make the tweaks, so everyone has touched it. You have
Speaker 2: the video recording of we're all on the same page.
Speaker 2: We all agreed. This is I mean, this is best
Speaker 2: case scenario. Honestly, some people are just gonna be battling
Speaker 2: it out. To have a friend who's battling it out
Speaker 2: for the last three years, so this is kind of
Speaker 2: best case scenario. And hopefully this is your friend because
Speaker 2: like Biffany I heard, she's still really good friends and
Speaker 2: real cool, still with her business partner that they I mean,
Speaker 2: it was hard and certainly contentious, I heard, but it's
Speaker 2: all good, you know. So I just say that that
Speaker 2: is what the process may or may not look like
Speaker 2: I had heard through the grape vine because over here
Speaker 2: I'm holding good. But you know, it's it is possible
Speaker 2: to do that because you.
Speaker 1: Don't nap during this segments, just like because you know,
Speaker 1: I don't think people talk enough about what it is
Speaker 1: to split up.
Speaker 2: So here's one thing I will say, just just to
Speaker 2: like close out. The only reason why it is possible
Speaker 2: to have this kind of smooth like transition and honestly
Speaker 2: may mean you need to get on this anyway too,
Speaker 2: is that we had an operating agreement. Remember we've been
Speaker 2: talking with Tony. Are it's dumb? Yeah, we did it.
Speaker 1: We did a different one recently.
Speaker 3: Yes, girl me, I'm like, yes we got Well, let's
Speaker 3: shack because I'm just so.
Speaker 2: But you want to make sure that just anybody listening
Speaker 2: that you're getting even like me and Maddie it's been
Speaker 2: eight years. I mean, we work wonderfully together, but you
Speaker 2: want to have an operating agreement in place and not
Speaker 2: just like, oh, in case you hate each other one day,
Speaker 2: God forbid, something should happen to myself for Mandy. What
Speaker 2: is a protocol, you know, like what is supposed to happen,
Speaker 2: or what if somebody wants to leave the operating agreement
Speaker 2: is going to help significantly? Like what's what's our percentages?
Speaker 2: You know, if you own more of a percentage, you
Speaker 2: can kind of force someone's hand, But if you're fifty
Speaker 2: to fifty, you have to kind of come to the table.
Speaker 2: I've done this twice. I've broken up with business partners twice.
Speaker 2: Two companies. One I wanted to shut down and one oh,
Speaker 2: I mean I had heard that Biffanity had done that.
Speaker 2: So anyway, I'll just say all that to say that,
Speaker 2: like it is possible to you know, it's not supposed
Speaker 2: to be easy, but it's certainly possible for it to
Speaker 2: not be you know, like super contentious and for it
Speaker 2: to smooth smooth, like go smoothly as smoothly as it can.
Speaker 2: But I will say this, and I know it's that
Speaker 2: inclosing less time. But pick a date that it has
Speaker 2: to be done by, or you'll just be dragging your
Speaker 2: fee forever. Like, hey, this needs to be done by
Speaker 2: you know, I'm just making up a date October thirty first.
Speaker 2: If not, I'm just I'm just gonna shut this thing down.
Speaker 2: You have to pick a date because people will drag
Speaker 2: their feet for it ever and ever and ever. You
Speaker 2: certainly don't want to drag it into the next year
Speaker 2: because you know every year, you know, you pay twenty
Speaker 2: twenty two taxes, we have to pay in twenty twenty three.
Speaker 2: So you have to think to yourself, you're going to
Speaker 2: be connected the next year either way. So pick a date,
Speaker 2: do not let it go into the next year, and
Speaker 2: you know, and get it done. And you know, if
Speaker 2: you have to walk away, you know sometimes you know
Speaker 2: that's better than you know, getting dragged for years and
Speaker 2: years and years. So hopefully that was helpful. Biffany girl,
Speaker 2: Thanks girl for giving us some tips. You know, like
Speaker 2: I said, i'd heard.
Speaker 1: So transparent. Yes we have. We did ours last summer.
Speaker 1: I was just looking at my emails. I'm like, okay,
Speaker 1: we're telling a mess, but no, let's let's triple check
Speaker 1: me make sure, because that's that's kind of our style,
Speaker 1: was tiff It's like we'll do we'll talk about things
Speaker 1: and then like six months later we'll do it and
Speaker 1: then six months la, but.
Speaker 2: Do we do that thing? And I know it's important.
Speaker 2: It is, in fact, I said, honestly, mostly for me
Speaker 2: and Mandy. It's really more so I just thought to
Speaker 2: myself about like, well, what if something happens to one
Speaker 2: of us? So you know, this allows like to not
Speaker 2: have to wonder like wait, what if we have that.
Speaker 1: Total you know, like with those Superman's passing and you taking.
Speaker 1: I mean it worked out because like at the end
Speaker 1: of the day, we have we're a pretty simple business.
Speaker 1: You know, yes, and it's just it's literally you and
Speaker 1: I yes, and you know, at the end of the
Speaker 1: day the challenges are not as challenging, but still it's
Speaker 1: like we should who knows what could happen in the future.
Speaker 2: Exactly, and so you just want to be able to say, oh, okay,
Speaker 2: this is what because one of the things when one
Speaker 2: of my attorney friends told me Arenz he's awesome, he said,
Speaker 2: you want to you want to create contracts when things
Speaker 2: are good, you know, because you know everybody's like kumbaya
Speaker 2: when things are good. That way, if he said, you
Speaker 2: could do whatever you want until you disagree and then
Speaker 2: you do where the contracts is so but like I'm
Speaker 2: just making it up, like let's just say me and
Speaker 2: Mandy always said we always have to have a beat
Speaker 2: face no matter what in our contract, we don't have
Speaker 2: to do that. We're like girl by But if me
Speaker 2: and Mandy are beefing, I'm like, no more, girl, then okay,
Speaker 2: the contract says be faced, so we both have to
Speaker 2: have beat face. And so you see, I mean like
Speaker 2: you could do whatever you want until you disagree, and
Speaker 2: then then you follow what the contract says. So just
Speaker 2: keep that in mind that contracts are so critically important.
Speaker 2: Even now, I was just thinking to myself, I got
Speaker 2: to hit my designer Rihanna because she's doing my my
Speaker 2: new condo that I bought. She did the house that
Speaker 2: I live in now, and she's like, oh, we don't
Speaker 2: led in a contract. I'm like, oh, yes, we do,
Speaker 2: Yes we do. Because not that I mean, obviously she's
Speaker 2: awesome all the things, but I'm like, it's just bad
Speaker 2: practice not.
Speaker 1: To have power when you're working with your friends and family.
Speaker 2: Yes, that's it's just yeah, it's just bad practice. Not
Speaker 2: too so. Hopefully that was helpful. Biffney girl, we're a
Speaker 2: rock star. You know, I've been living well, she'd been
Speaker 2: living through a lot the last couple of years, but.
Speaker 1: You nailed it. Totally. Have no idea what this is
Speaker 1: about about all right, thank you to that listener. What
Speaker 1: do we say BBW? Do BBW stand.
Speaker 2: For beautiful black woman?
Speaker 1: Whatever? It's fine it does now?
Speaker 2: Uh huh?
Speaker 1: All right, BA Fam until next time. As a reminder,
Speaker 1: please send us your questions on ig We are at
Speaker 1: Brand and Bission Podcast. You can also hit us up
Speaker 1: Brand Ambission Podcast at gmail dot.
Speaker 2: Com dot com.
Speaker 1: And if you'd like to be a guest in the
Speaker 1: studio live on the show to get your questions answered,
Speaker 1: let us know the best way to do it is
Speaker 1: to submit a voice note instead of a written question,
Speaker 1: so we can pass it on to our producer and
Speaker 1: maybe you will be featured live in the BA FAM studio.
Speaker 1: Exciting until next time. Bye ba Fam, Bye bye hey
Speaker 1: ba Fam. We could not do this show without your
Speaker 1: support or the support of our team behind the scenes.
Speaker 1: The Brand Ambition Podcast is produced by Imani Crosby and
Speaker 1: Dennis and Plinsky is our in house tech guru. I
Speaker 1: am your co host Mandy Woodris Santos and we will
Speaker 1: see y'all next week. Ba Fama