Silent partner

Discussion in 'Growing and Managing a Business' started by maxmax, Nov 18, 2011.

  1. maxmax

    maxmax
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    My husaband was a approached by someone that wanted to know what a person could do to make money off the current gas drilling boom he gave him a idea then set him up with all the info of all the equipment he would need and his foot in the door and to keep lining him up with work to build his buisness this person offered my husband to be a silent partner and 5% of profit every 6 monthes is this a fair percentage ?
     
  2. Shahrier

    Shahrier
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    It depends on how much he is working. It also depends on how much money the company makes.
     
  3. JPM

    JPM
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    The percentage is all relevant. 5% of a huge company's revenue is better than 50% of nothing. It sounds like your husband would probably have the best answer to that.

    However, if you're husband only has to help set up using his knowledge, clearly he is in a good bargaining position and could try for a higher percentage.
     
  4. firstchoicecar

    firstchoicecar
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    Yes I agree It always depends on the earnings or profit of the business.
     

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