Adam Grunseth
March 26th, 2007, 11:42 AM
Ok, here is my situation. My girlfriends father invested some money to help me start my business. I didn't solicit this investment, it was entirely his idea and he insisted that I take it. So I accepted, and sat down, and figured the value of my labor and what I contributed to the business and what he contributed. The result was is contribution was worth about 8.5% of the total company- so in turn I would like to share with him 8.5% of the profits. We both agreed it would be good to have a contract saying this..... but I'm not sure what kind of contract fits the situation. My company is set up as a sole proprietership, and the only way I have found to give him a contract is to make him a partner and set things up as a limited liability partnership. However, I learned even in a limited liability partnership he may still have some liability if the business gets sued.
I am really not sure how to get this set up.... I do not want him to have to have any liability in the case the company gets sued, but at the same time I really do not want to set up a coorporation. Is there anything in between?
I am really not sure how to get this set up.... I do not want him to have to have any liability in the case the company gets sued, but at the same time I really do not want to set up a coorporation. Is there anything in between?