Money is something that’ll change people’s personalities. It is important to understand that business for most people is about making money, and people’s true nature and personalities come out in anything when money is involved. 

Before money is involved, nothing is at stake and life is all good. But the minute money comes into the occasion, personal dynamics change very quickly. 

“His [Steve Jobs] personality changed the day that he was a founder of a company with big money this was his key to being an important person and his personality changed.”

Steve Wozniak, Co-founder of Apple, in an interview with Guy Kawasaki

So what to look out for? 

It’s important to see what people’s track record is when it comes to money. Maybe they’ve ventured out into other businesses, if so, try and get some insight into their existing behaviours with other business partners.

Look at their lifestyles and personal circumstances, and see the kind of lifestyle they are living at the moment. For instance, if they need money very quickly to support their families, then chances are they would want dividends very quickly and compromise reinvesting into the business. 

People’s personalities do change, and this is coming from personal experiences. When I ventured out alone (after parting ways with my brother), I partnered up with a dear friend of mine (from a local sports club). He could see that the tuition business was a lucrative venture, and showed interest to invest. He invested, but some situations eventually led to tension in our relationship. This is a person who is a very dear friend of mine (and still is), and I’ve known him for years. Yet when money is involved in any relationship, it will test people and their personalities. 

Conclusion

Look to avoid working with close family and friends as money can damage relationships. 

Understand how people view money and what their relationship with money is like. i.e. do they like spending, are they holders of wealth, are they desperately in need of money to support their family etc? 

These are some real questions that you should ask yourself before starting a tuition business with other people. Their take on money is something that’ll impact your business. 

So it is better to understand if there is alignment at the very beginning and anticipate any future money-related problems that may arise.

Have open discussions about these issues, and see how everyone reacts. Those reactions will tell you a lot about what you are getting yourself into. Analyse those reactions, think deeply about everyone, and then decide if you are still happy to proceed. 

You won’t get everything, but at least it’s a good start to filter out the right person.