Competitor contacted me...

Offer him guest blogging in exchange for cash or links. If you don't need the money, just offer guest posts for links. If he doesn't like it, no sweat just keep doing what you're doing. There's no replacement for ownership, so unless you plan on owning a writing firm there's no reason to trade site ownership for blogging employment.

Don't work in your business. Work on your business.

I wouldnt take his deal. He obvioulsy knows stuff that you dont. If its your passion and you are good at it he probably can see it, and knows that you can probably make a better site than him. I would get some BST on here and outrank him. You will never be rich working for anyone but yourself. Once you can get good rankings and some good traffic who knows what kind of doors that will open up...you can start even making your own info products in the nich and make some really good money. Do not sell out! Good luck!