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The following is not a promise, contract, guarantee or anything of the kind-but simply a proposal for discussion.  These are only the beginning sketches of my ideas.  I'm not promising this until, and unless, we work out the details.  As you know, in order to change the terms of your employment, we have to amend or replace your employment contract in writing.  This is subject to change.  But here is my thinking:

What I can do, Nick, is make you an owner in the Houston office.  Here is what I propose:

  • To give you a ten percent (10%) interest in the Houston office starting in 20- (effective now), and then 10% more each year for the next seven (7) years, for a total of eighty (80%) ownership.  That means that after five more years, you would own controlling interest in the Houston operation (60%).  I would retain 20% interest indefinitely.  You might not be a shareholder in CareerLab, because that is a complicated legal process, but if not, I would guarantee these rights under a separate enforceable contract.  
  • In addition to ownership interest, you would receive a percentage of net profits equal to your ownership share, beginning in 20—.  For example:  If you own 20% of the Houston office on December 31, 20—, you receive 20% of the Houston office's net profit after tax, payable first quarter (Q1) 20—.;  That constitutes an immediate pay raise.  
  • If the Houston office loses money in any two (2) consecutive quarters, you would not get the additional 10% ownership that year, or a split of after-tax profit.  
  • You would have access to the Houston P/L and balance sheets as soon as we can separate out Denver's costs and make them available.  
  • I would retain ownership of the company name, copyrights, trademarks and all intellectual property but would license their use to you.  
  • When the lease comes up for renewal in another 2½ years, you would sign jointly on the lease, or renew the lease under your name.  
  • Your present compensation package would remain the same, but the potential net profit after tax makes this a substantial raise.  
  • If you leave the company at any time during the next five (5) years—that is, before you own controlling interest in Houston—for any reason except death or permanent disability, this agreement would be null and void, and 100% ownership would revert to me.
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William S. Frank, M.A., President/CEO
25 Reasons I love consulting.
by William S. Frank
  1. Brand. You are your own brand, and you can define it any way you want. For many years, I provided outplacement to the ex-employees of Schlumberger, the world's largest oilfield service corporation. When departing employees left the company, they didn't request outplacement in their severance package. They said, "I want Bill Frank."
  2. Demand. The world will always be full of terrible problems that need solving.
  3. White Hat. I can be a helper and get paid for it.
  4. Pay. I can be paid to do things I'd gladly do for nothing.
  5. Variety. Every day is different.
  6. Happiness. At this stage of my career, I only work for people I respect and care about. If a client micromanages me or is otherwise no fun, I complete the assignment and replace them.
  7. Talent. I'm using 110% of my talents and stretching myself to the max.
  8. Change. I can change my focus any day I want. If you're a McDonald's franchisee, you don't say, "Hey, I've got this great idea for a meatball sandwich—let's try it out today." In consulting you can adjust your focus hour-by-hour, as long as your clients still understand and appreciate what you do.
  9. Income. No one else would pay me as much as I pay myself.
  10. FUN. I can't think of anything I'd rather be doing.
  11. Retirement. I can write and consult as long as I am physically and mentally capable. Peter Drucker worked into his 90s, and when asked which book was his best, he said: "My next one."
  12. Job Security. Although clients come and go, no one can come into my office and say, "Pack up your stuff . . . You don't work here anymore." In 29 years, I've only had one employer: ME.
  13. Travel. I don't have to travel unless I decide to. I travel if it's both FUN and profitable—or at least FUN.
  14. Commute. I live five minutes from my office, a corner office in an upscale six-story tower. In winter, I leave a heated garage at home and drive to an underground heated garage at work. There's seldom time to hear even one song on the radio.
  15. Vacation. Consulting is more fun than vacation (except on Wailea Beach in Maui).
  16. Friends. I have developed hundreds of close acquaintances and several lifetime friends.
  17. Time. I can work as much or as little as I like: four-hour days or 18-hour days. (Of course, my income will reflect that.)
  18. Employees. I can work with employees, subcontractors, partners, or alone—I've done it all.
  19. Passive Income. I've developed several products that provide "mailbox money." I earn while I'm sleeping.
  20. Ethics. I've never had to violate my values or personal code of ethics. I've never had to lie, purposely deceive or harm others, or promise things I can't deliver. I go to bed with a clear conscience. That doesn't mean there's never any conflict. But the conflict is conducted according to generally accepted business practices.
  21. Virtual. My career is fairly portable. With the Internet, e-mail, cell phone, and FedEx, I can work nationally, even internationally from my office—or anywhere in the world.
  22. Purpose. I make a difference in peoples' lives every day. I see it in their faces, hear it in their voices, and read it in their thank-yous.
  23. Experience. Every painful or joyful life experience makes me a better consultant. So does every person I meet or book I read. Grey hair can be good in consulting.
  24. Structure. I have to work very hard, and the clients expect superb results—but I get to structure my days, weeks, months, and years.
  25. Boss. Most of the time, I love my boss.
As I was posting these letters online, I realized I want to communicate my love for consulting. It's just a great business. The single letters, taken together, may create a picture of enjoyment, but in a burst of creativity I listed some of the reasons consulting is such a good fit for me—and perhaps for you, too. They are not prioritized; this is just how they came out.