TJ,

Welcome to the board. You are right this is a great place to learn.

35% for referred inspections is what I was offered when I first got into this business. The guy was also wanted to consider me as a subcontractor (so I would have to provide my own insurance, a very hefty expense).

I opted to strike out on my own as there was no way I was going to make a living working for peanuts for someone else. This might work out for you however, depending on your circumsatnces. I had alternate income so I could afford to be broke for the first year or so.

Unless the guy is requireing you to sign a no-compete contract I don't know why he should get 50% of inspections that you get on your own, if you are truly going to be a sub-contractor.


Some things to consider:

Are you going to have to sign a no-compete (or any other) contract with this guy? Many have very speciifc competiton clauses, although I don't know if they would stand up in court.

Is he going to provide insurance for you or will you have to provide youir own?

How many referrals will he actually provide you? Can you survive on 30% of the cost of an inspection?

Will the 30% rate become larger after time goes by or is it set in stone.

If you are using your own vehicle, tools, etc. you have to think about the associated costs and how they will fit in with that pay scale.



As I said, I decided to not work for someone else when I started but I know that will not work for everyone. However, if the guy does not supply you with very many referrals, you may be beter off strting out on your own and taking 100% of every inspection for your own business.

Just some things to think about.


Eric