Selling my company?

Discussion in 'Growing and Managing a Business' started by CMTII, Aug 1, 2014.

  1. CMTII

    CMTII
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    I would like to sell my company. We have a great product line that helps many people. The only thing is, my partner doesn't want it sold. Now legally he own nothing in this company since nothing is written down on paper about how much he thinks he owns. Superficially he owns 51% and I only own 9%, see what I mean? When someone who owns more of the company, someone who is getting paid more, should actually hold up what the written agreement was on behalf what we are each doing as rolls in the company. I take care of everything in the office, from emails, to meetings, to online orders, I take care of all that. What he is supposed to do is go out to different places and sell the product and market the product. That is what he is supposed to be doing. I cannot sell, I have tried multiple times, and I can't. So, since that nobody is going out and selling our products, we have no profits coming in, with no profits means nobody is getting paid. Whenever my partner needs money he will run to an investor and put the company that he doesn't own up for collateral, without my permission. (Kinda behind my back in a sense.) How should I go about selling this company? I feel that I am just the cash cow right now.
     
  2. Joseph.Shivell

    Joseph.Shivell
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    Why do you say he owns 51% "superficially"? Then, if you own 9%, who owns the other 40%? If I understand this correctly, since he owns the majority of the interest in the company, it is his company, and he can run it however he wishes. Because you only own 9%, it is not yours to sell, and whatever he does with it is up to him, not you. Without knowing exactly how you came up with him owning 51% and you owning only 9% of what you call "your" company, I don't see how he is making decisions "behind (your) back", and I don't see how you have the legal right to sell the company.
     
  3. CMTII

    CMTII
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    What I mean by "superficially" is that nothing is on paper, except for my ownership. Nothing is signed between him and I that make it that he is the legal share holder. I have not signed stating that he owns 51% this is what he thinks he owns, when in reality he doesn't own anything. All of the loans, that he tells his investors who give him money, he puts the company as collateral without me knowing it. Without my signature.
     
  4. Arizona

    Arizona
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    What type of company is it? i.e. what is the legal status of the company? Who signs the checks?

    The fact that there is nothing in writing suggests this is going to get messy.

    The fact that you mention there are no profits in the company and nobody is getting paid suggests that you'll find it difficult to sell unless you have a watertight business projection/plan that shows there are big profits out there for whomever would like to come in and acquire the company and all of its assets.
     
  5. Joseph.Shivell

    Joseph.Shivell
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    Arizona is right, this could get "messy". You say you own the company, but he is the one who found investors to contribute money to the company, using the business as collateral. You allowed this to happen for so long that your partner now "owns" 51% of the company. You should have put a stop to this as soon as you found out about it, rather than letting it go on this long. Finding investors to loan money to the company should be your job, not his. You should have made this clear from the beginning. Now, if the investors want their money back, you could lose the company. You should be getting legal advice (from an attorney, not from an online forum) about how to get the company back before you can even think about selling it.
     
  6. stevex

    stevex
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    Your share is very less as compare to other share holders. you can sell it to the 51% owner .He will surely take it when you will show no any interest in this business.
     

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