Questions

I am partnering with some intermediate-large outlet stores to make an online outlet store in Argentina which there are none with real stock as we will have. Plus, we will have the advantage of having all the items on consignation (from the brands) or/plus having a factory produce any best seller again (my factory). I am considering different developers which i will want to handle the SEO, social media, online marketing, email marketing, virality, a/b testing, logistics, picture taking, data entry, system and stock matching (retail and online), etc, so basically I am outsourcing everything to them. The options I am having range from 1000-6000 for the development of the e-commerce, and 500-2000 for the monthly maintenance. The most expensive ones are the most recommended ones but there is a great difference with the rest. He also is interested in being a part of the project, but he is offering me to still charge me 6000 for the site and 2000 for the monthly fee or 7%, whichever is greater. My question is, why should i partner with him if he is not absorbing any of the initial cost and he is not taking any risk on the monthly cost? (He is an open cart developer)

The partnership is not likely to pan out well for either of you. Sustainable partnerships need shared visions and goals for both parties, otherwise you are in it for material reasons that can easily dissipate with any sign of trouble.

Although it can be much easier and cheaper to partner while starting out, I would not recommend the one you described if they are not taking on costs and risk. For now, I would suggest outsourcing the development and maintenance. It looks like it would surprisingly cost less in the long-run (which normally would be the case for seeking a partnership).

Good luck.


Answered 7 years ago

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