I really appreciate your insight into this. Definitely have given me A LOT to think about. Any other perspective would be greatly appreciated. It seems that the best course of action would be to reach out to a few professionals (ie, attorneys/accountants) to help out further. Please reach me off line to if you have an opportunity to chat.
Victor Olex <[address removed]>
To: [address removed]
Sent: Sunday, December 9,[masked]:29 PM
Subject: Re: Re: [newtech-1] Business Question
I am a believer of putting one's money where their mouth is.
Therefore even if it is only a few thousand dollars have that person
contribute financially to the business. Another option would be to
wait until indeed he brings that big client and to discuss then the
equity reward instead of commission pay out. In other words, once
the big commission is paid out he will have the money to invest in
the business. With the money in hand if he still wants in that to me
With regards to valuation, sadly what you already put into the
business is not relevant. Assets and future earnings are and so if
having a partner is critical to growing those then you should
consider doing it. As others have mentioned writing a sound
operating agreement is important and typically begins by adopting a
standard one and amending it to fit your situation.
Last but not least, I think that in closely held companies it is
important to make sure that partners' respective goals,
expectations, financial maturity, wealth and where they are in life
are well understood and compatible with each other. For example a
well to do retiree partner will likely have more stable outlook than
a 20-something who is about to get engaged and will may soon need
money to buy a house. Conversely, chances are you will get more
enthusiasm for work from a young and hungry person.
/db automatically makes web
services from databases so their content becomes accessible to
authorized web, mobile and enterprise applications as easily as
following a URL. More at slashdb.com.
Please Note: If you hit "REPLY", your message will be sent to everyone on this mailing list ([address removed])
This message was sent by Victor Olex ([address removed]) from NY Tech Meetup.
To learn more about Victor Olex, visit his/her member profile
Set my mailing list to email me As they are sent | In one daily email | Don't send me mailing list messages
Meetup, PO Box 4668 #37895 New York, New York[masked] | [address removed]