Working for one Client...and their Direct Competitor

jhoppe

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Milwaukee, WI
I've got a potential situation here and just wanted to hear others' views of this.

I've got a particular small business as one of my customers. They aren't one of my higher grossing customers but they have been one of my customers since my very first days in business. I do their web hosting as well as server/ client support calls. This is a family-owned business...all the management is directly related by blood. I've had NOT ONE issue with them.

One of the family members it sounds like left the company on bad terms and now MIGHT be their direct competitor. The family member asked me to do a job for him (reading through the lines, it's for his new business) on his computer.

Does anyone see a problem with doing the job for the former employee of the family-owned business? I can see me being put in a tough spot with my loyal customer when (if) the family members still do speak with each other and mention me assisting the ex-employee...

Any opinions?
 
I see no moral or ethical dilemma in doing the work. Assuming of course you don't have some kind of exclusivity contract in play. There could be a financial dilemma if the first company act like children and stop using your services to "teach you a lesson".

Quite frankly it's none of their business who you do work for. You're a business which means you are bound to cross paths with "enemies" of other customers quite a bit. Just do the work you're paid to do and keep your nose out of the personal squabbles and you'll be fine. If they can't handle you working for their competitor, enemy, best friend, whatever bid them good riddance because they aren't worth your time.
 
I see no problems with it but I also wouldn't advertise the fact to the first customer. If you're thinking about running it by them to make sure it's OK, then don't. Your client list is confidential and you are just a third party contractor.
 
Keep quit and do what ever brings in the most money. It's business never personal. Don't make and don't take it personal.
 
I agree with the others. Who are your clients are YOUR business and not anyone else's.

I have had some of my customers ask for referrals. I tell them I have some testimonials on my website, but other that that, my clients are confidential.

If it came to one of them telling me to drop the other and really pushed it, I would drop the one that made the request.
 
It is your decision who you "choose" to work for. Your client would not think twice about doing work for your closet competitor, would they?

If and more than likely "when" you get to that point where either of them ask you a question about the other use Standard Answer # 2

"My business is built on trust and confidentiality, so I know you don't really want me to compromise my integrity. Besides you wouldn't want me to put your business out on the street, would you?"

For 20 years this has always worked for me, shuts them down.
 
THANK YOU ALL for the responses. I appreciate the honest and accurate answers!

Chances are, nothing will be said by either client, but I just wanted to make sure I'm staying clear of potential borderline problems.

Just curious...is anyone of the opposing viewpoint with a justifiable answer?
 
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Humm I don't think the direct competitor thing would be a big issue, I once worked for a IT guy who did all the work for all the garages in town.. his sales pitch was always like "Well we just got Rick this new website.." them "I WANT ONE"

The family issue could be a little more hot blooded, but i wouldn't get involved.

So I would just feint ignorance if they mention the family member is on bad terms. "Oh? he doesnt work here anymore? huh... how about that"
 
Also make sure you maintain a neutral stance. Don't speak about either business to the other. If there is something brought up just politely remind them that you would prefer to to stay out of it.
 
IF it ever was brought up and was a problem I would simply ask them this question.... "I have several customers who are dead beats and won't pay me for my services, even though I've billed them multiple times. I also have a few customers who are jerks and treat me like a moron. If I give you their names, will you promise me that you will ask them to leave your premise if they ever walk through your door?" I think they will get the idea and I don't think that is being rude either.
 
I had a lady turn me down for advertising because she asked another repair company who advertises with her for permission to let me advertise with her. First of all I would never ever even consider using her service again and I told her that. Secondly, it is none of the competitors business who she does business with and I told her that too.
You exist to make money. If you lose one because of the other you are probably better off. Would you not do business with Home Depot because you did business with Lowes?
 
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