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Subject:
Employee Ownership / Stock / Profit Sharing Programs ($15.00)
Category: Business and Money Asked by: mrmojorisin-ga List Price: $15.00 |
Posted:
09 Jan 2005 17:40 PST
Expires: 08 Feb 2005 17:40 PST Question ID: 454739 |
I started a company with a friend approx. 2 years ago. The funding for the company came from him and his brother. When asked about company ownership, I was told "You'll get something when it comes time to sell". Being a friend, I took this at face value and continued to work building the company. When I pressed him on several occasions to document a "employee ownership" program, he declined saying it was too complicated an issue to address and that "I would be given something". This answer is no longer good enough for me. I'd like to find a source (website, etc..) that shows several typical "Employee Ownership" programs for small start-up companies (preferably S-Corps) that I could give to him as a template/guideline. The parent company is an S-Corp. The business I started with him is a subsidiary of this S-Corp company ("doing business as" xyz). |
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There is no answer at this time. |
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Subject:
Re: Employee Ownership / Stock / Profit Sharing Programs ($15.00)
From: mws23-ga on 09 Jan 2005 18:04 PST |
Granted, I don't know all the details but, I don't think your "friend" needs a template. What I do think is that you should talk to a laywer - no, not to sue your friend, but to learn what steps you need to take to preserve your rights. Then, if you want to see samples of employee ownership agreements you can run search on findlaw.com or other similar sites. |
Subject:
Re: Employee Ownership / Stock / Profit Sharing Programs ($15.00)
From: david1977-ga on 09 Jan 2005 18:09 PST |
Well as it is you don't seem to have any legal binding contracts. Do you have any of the ownership with your name on it? Becuse if you bring what you are looking for to his attention then there is a cahnce that the outcome could end up bad. As such I would go ahead and contact a lwayer about this. And have him help you establish your ownership in the company. Keep as discreet as possible untill you have to take a stand. Verball agrements can be some what withstanding but if your friend and his brother have a paper trail of there ownership and you cannot supply anything then you may be at a lose. Are any of the bills in your name? Is your name on any of the paperwork as a owner? Do your clients have knowledge of your owner ship? Are there certain parties that have delt with you as a owner? |
Subject:
Re: Employee Ownership / Stock / Profit Sharing Programs ($15.00)
From: neilzero-ga on 13 Jan 2005 06:42 PST |
Hi mrmojorism: What you are proposing will all but surely get complicated and costly. A typical lawyer will write up a deal that will make future fees for the lawyer probable. Why not a one sentence contract stating: "Mrmojorisn will receive a minimum of one percent of the gross sale price of Blabla, when and if the business is sold or becomes part of a merger etc." Adding the word gross will slightly discourage the business from barrowing large amounts of money. The signatures should be witnessed and perhaps notarized. Neil |
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