We gave the product to dealers, sales increased on one hand but control became difficult on the other, our branding also changed

we also gave out dealerships bro it went really bad. the dealer rebranded jacked up prices customers come to us complaining saying 'defective product'. since it wasn't written in the contract nobody could hold them accountable. then i cut ties with the dealer.

dealership model: means accepting loss of brand control to gain a distribution network (how much depends on the contract). you need to put control clauses in the contract at the start. fixing it later is hard and expensive.

in the dealership contract: 1- define exclusivity (dealer can't sell similar items), 2- set price terms (minimum retail price) 3- ban rebranding (licensed sales), 4- quarterly sales reporting, 5- dispute resolution and termination, 6- have a lawyer draft it

i'm curious: when you cut ties with that dealer did their customers come back to your side? because i'm asking if we can salvage the damage to your brand.

bro not seeing the 40% sales and 70% brand loss is a huge lesson! make the contract tight for future dealers, put in the controls, and it'll go smoothly from there and you'll succeed!

dealership: its like 'you sell, i control'. most dealers say 'i sell bro you control'. if control is written in the contract even if the dealer gets upset, you can maintain control.

Quick summary for newcomers: Processes without records never improve, because you don't know what to fix.

If I were you, I'd go this route.

Do you think this works at any scale? Start with a small trial; don't commit to everything at once.

The harder it is to reverse a decision, the slower you should make it. Good luck with that.

Exactly like that. The real issue isn't the number, but what it's based on.

Correct me if I'm wrong.

Noted, thanks. Second-time founders don't make the same mistakes but find new ones.

If you don't write this down from the start, it leads to arguments later.

Let me clarify the technical side. I mean the answer varies greatly by industry; there is no one-size-fits-all rule.

When the closure decision was made is as decisive as the decision itself. Just leaving this note it might be useful.

This is exactly what we experienced. The first thing to break as you grow is communication not the numbers.

We got stuck at the same point for a while. Processes without records never improve, because you don't know what to fix.

If you don't write this down from the start, it leads to arguments later... That's all sorry if I went on too long.

i went through the same thing.

The opposite happened to me that's why I'm writing. The harder it is to reverse a decision, the slower you should make it.

If you get three different answers on a topic, the question was asked wrong. I'm also curious if anyone does it differently.

I'm a small business, let me explain from my side. Everything goes well for the first three months; problems arise in the fourth.

Most time waste accumulates in tasks waiting for approval. Of course, it varies if your situation is different.

I'm writing this so you don't make the same mistake. Mistakes made on the granting dealership side are usually reversible but expensive.

If you post the result here, it will help others too.

I agree with this. I mean if it's your first time, start small; scaling comes later.

The biggest time-waster for us was not knowing who had the final say. honestly if you post the result here, it will help others too.