On hiring relatives, expecting support from relatives for a start up

Every generation needs a revolution - an entrepreneurial revolution

Usually it does not work.   These worked with us:    a relative driver, relative of wife doing clerical works. They set bad example:    come to work late, absent frequently, low productivity.  They dont change even when called out.  It becomes complicated when they are fired.   Roles at office and in family tree clash. 

So better hire outsiders and those who will tow the line in a business environment  (Over the weekend I got into a tiff with relative of wife who bussed his plates into my table during a buffet)  This also happens to friends.  I did business with a close friend for iron grills for mass housing.  Prices kept escalating and never ending parade of complaints.   We had to part ways.   

Do not expect support from friends or relatives for a start up.   They usually believe you wont make it and you will not amount to anything.  Get support from public at large through marketing, excellent product and service.

Be the best you can be.  They always say you owe it to your family.  But sometimes, you can only depend on you.

E myth by Michael Gerber was correct

Every generation needs a revolution - an entrepreneurial revolution

According to Michael Gerber, techies cant be businessmen.   Most people believe that if they are expert programmer, civil engineer, designer, etc, you can hit on your own and be wealthy.  

The techie has to learn how to run a business.  He has to learn to be entrepreneur. 

There are three engineers and all are quite good as contractor but I can see that:

(JM, Leal, FF)

     1.  They lack ability to sew a deal, negotiate;

     2.  Lack of knowledge how to get permits

     3.  Lack of business sense

     4.  The procedures.

Thus I have to render some advices consultancy for them to learn the business.   

This power company, a DUI is outsourcing its lineman team

Every generation needs a revolution - an entrepreneurial revolution

The MM power company was acquired by a famous local tycoon with practically nothing of his own money.  The DP was borrowed from a bank (which he partially controls) and paid immediately after an IPO of a holding company.  The balance of the purchase price was paid for by the cash flow of the company.  Smart eh.  (Classical case of smart acquisition taught by Finance Professor who heads a big insurance company)  Therefore he has to pamper his linemen

But the DUI has been bought by a smart guy and now does not do that.  He practices attrition and now outsources most of its line work through the line companies established by retired linemen  (mostly supervisors)   In our town, there at least 3 such companies.   They hire linemen at much lower pay, (no health or retirement pay?) and executes JO for every line installation or trouble.   Part of retirement pay went into installment sales of old vehicles and equipment  -  smart way of disposing old assets.    

Real smart guy at the top