Lubavitch Real Estate Blog

Where to find business partners

During his lifetime, a person gets to know people, you unwittingly arming personal networks: family, friends, coworkers, study center, etc.

Given the need for more capital, the first thing is to find the potential partner in one of these personal networks.

Although you should always keep in mind that, to bad management or bad results obtained in the company, is likely to reach to break the relationship to be had with the partner.

What happens when a couple, both partners of a company, decide to divorce

In this situation four scenarios:

* Continue as partners depend on objectively separate the emotional aspects of the business.
* That one will buy the company to another, establishing an objective process of recovery.
* That the two sold the company.
* Incorporating a partner to balance the property and decisions.

The final decision will depend on the motivations or causes of divorce and the degree of communication and coordination that exists between the former spouses of corporate structure and ownership of the company, and marital regime.

Capital increase

In the case of Individual Enterprises Limited (EIRL) the capital increase can only be effected by the owner of the company. If you decide that another person is who provides capital, it must process EIRL in another way existing companies.

If we talk about companies (SA, SAC, or SRL), the increase may be made by existing members and maintain their very participation. But it could happen that only one partner increases the capital. In this case there will be a new composition on participation. In societies, the capital increase can mean an increase in nominal value of each share (participation) and the creation of new companies.

Before you start

In every society there are processes that require to be adjusted at the beginning. We must discuss the value of the shares, decide what rights and obligations will each partner. You should consider writing programs for the flow of information and an output mode (which is always possible) and purchase of the partner’s participation.

Similarly, you should remember if there will be profit sharing every year and if not, how the gains are reinvested. It is important to know whether the original partners have an option to purchase its shares, prices and deadlines.

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