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  3. Competing against former employer?

Competing against former employer?

Scheduled Pinned Locked Moved The Lounge
salesquestion
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  • E ez1

    Thanks for your comments, appreciated. I guess I'm having a problem figuring out what is "on the line". I've been in the sw business for 12 years pretty much doing the same thing for different companies. So I have pretty good knowledge about the subject matter. However, the company hired me because of my knowledge in this area and to say I can't create a product around this knowledge sorta ticks me off, even though they hired me. Hope that makes sense!! (My knowledge strictly comes from an understanding of sales related issues, not the internal structure of how the product was put together. In other words, I never saw code, or had anything to do with the code.) Anyway, several people have suggested in this forum to approach my former employor (which sounds reasonable) however, I don't think anything good can come from it. They don't have anything to loose by telling me, hey don't compete. We eventually want to compete in this market. I guess I'm just going to talk to a lawyer and really find out what my options are first. Thanks though.

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    David Cunningham
    wrote on last edited by
    #21

    However, the company hired me because of my knowledge in this area Well, this makes all the difference doesn't it. If you can honestly demonstrate that you walked into your previous job with domain knowledge, and not deeveloped it through this employer or your association with them then you may be clear. The fact that they didn't think it was important enough to negotiate protection for them or for you could also be telling. David http://www.dundas.com

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    • D David Cunningham

      However, the company hired me because of my knowledge in this area Well, this makes all the difference doesn't it. If you can honestly demonstrate that you walked into your previous job with domain knowledge, and not deeveloped it through this employer or your association with them then you may be clear. The fact that they didn't think it was important enough to negotiate protection for them or for you could also be telling. David http://www.dundas.com

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      ColinDavies
      wrote on last edited by
      #22

      Hey David, You having such experience in software business etc, Succesful at least by all the awards you guys have got. Why don't you write an article on starting your own business etc Or even better a series of articles on your experiences etc. It would be cool for many of us self employed types. I realise CP isn't a business site, But it would help CP continue to be a one stop programmers shop. I know you are busy because you don't return my phone calls anymore and hide your sonork pressence now. :-) Regardz Colin J Davies

      Sonork ID 100.9197:Colin

      I live in Bob's HungOut now

      Click here for free technical assistance!

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      • C ColinDavies

        Hey David, You having such experience in software business etc, Succesful at least by all the awards you guys have got. Why don't you write an article on starting your own business etc Or even better a series of articles on your experiences etc. It would be cool for many of us self employed types. I realise CP isn't a business site, But it would help CP continue to be a one stop programmers shop. I know you are busy because you don't return my phone calls anymore and hide your sonork pressence now. :-) Regardz Colin J Davies

        Sonork ID 100.9197:Colin

        I live in Bob's HungOut now

        Click here for free technical assistance!

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        David Cunningham
        wrote on last edited by
        #23

        I know you are busy because you don't return my phone calls anymore and hide your sonork pressence now LOL! My Sonork experience was short lived Colin, just wanted to see what all the fuss was about. I think I'm covered with TheLounge and IM ;) I didn't realise you had a phone call outstanding with me. I knew you called and spoke with Jake, but thought your inquiry was being handled with Jake's group. I'll follow up tomorrow and see what happened. David http://www.dundas.com

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        • E ez1

          Hi all, Since reading the previous thread on starting our own biz, I thought this was kind of appropriate. I currently was let go from my employor a couple of months ago. I really liked their product and understand from a high level what their target market, competition, marketing programs, etc. (By the way, I was not a developer for the company and I'm only a hobbiest programmer. My background is product management) Anyway, the company targeted enterprise customers and was priced accordingly. I know there is a huge market for a similar type of product in the small to medium sized businesses at a lower price point. I however, feel somewhat guilty about begining a process to compete with my former employee (even though I would be targeting a different market segment) given what I learned while I was there. However it such a good opportunity. Should I feel guilty? Are there any issues I should be aware of? Thanks

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          Rick York
          wrote on last edited by
          #24

          Quite a lot depends on where you are located. In the US, if your employer lets you go, they will have a very difficult time enforcing ANY type of non-comptetive agreement. Judges typically refrain from telling someone that they can not work, especially when their previous employer let them go. I have seen several companies attempt this and not one of them was successful. However, if you leave of your own free will to develop an identical competing product (which does not seem to be the case with you) then it could be considerably more difficult. If have seen mixed results on lawsuits of this nature.

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          • E ez1

            Hi all, Since reading the previous thread on starting our own biz, I thought this was kind of appropriate. I currently was let go from my employor a couple of months ago. I really liked their product and understand from a high level what their target market, competition, marketing programs, etc. (By the way, I was not a developer for the company and I'm only a hobbiest programmer. My background is product management) Anyway, the company targeted enterprise customers and was priced accordingly. I know there is a huge market for a similar type of product in the small to medium sized businesses at a lower price point. I however, feel somewhat guilty about begining a process to compete with my former employee (even though I would be targeting a different market segment) given what I learned while I was there. However it such a good opportunity. Should I feel guilty? Are there any issues I should be aware of? Thanks

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            Chris Losinger
            wrote on last edited by
            #25

            if you work in the US, there's a really good chance you signed a non-compete agreement with your former employer. be careful. -c


            Smaller Animals Software, Inc.

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            • E ez1

              Hi all, Since reading the previous thread on starting our own biz, I thought this was kind of appropriate. I currently was let go from my employor a couple of months ago. I really liked their product and understand from a high level what their target market, competition, marketing programs, etc. (By the way, I was not a developer for the company and I'm only a hobbiest programmer. My background is product management) Anyway, the company targeted enterprise customers and was priced accordingly. I know there is a huge market for a similar type of product in the small to medium sized businesses at a lower price point. I however, feel somewhat guilty about begining a process to compete with my former employee (even though I would be targeting a different market segment) given what I learned while I was there. However it such a good opportunity. Should I feel guilty? Are there any issues I should be aware of? Thanks

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              Kevnar
              wrote on last edited by
              #26

              Did you sign anything saying you wouldn't?;P

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              • T Thomas Freudenberg

                Paul Watson wrote: My first job's contract included a clause which said I could not work in a competing or similar (similar was strictly defined) market for 6 months after I was let go, quit or was fired. In Germany, this clause is legal only, if your employer pays you compensation money, otherwise you do not have to mind it. Regards Thomas


                Disclaimer:
                Because of heavy processing requirements, we are currently using some of your unused brain capacity for backup processing. Please ignore any hallucinations, voices or unusual dreams you may experience. Please avoid concentration-intensive tasks until further notice. Thank you.

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                SimonS
                wrote on last edited by
                #27

                I think it is the same in SA, Paul. It makes sense that way, otherwise they (previous company) are preventing you from earning an income. Simon

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