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setting up a partnership

Discussion in 'Business Fundamentals' started by omegalandmgmnt, Jan 17, 2012.

  1. hey guys thanks for your intrest in my question.

    i have an existing corporation that does landscaping and snow plowing for residential clients.
    i have a business partner, and we want to start an commerical snow removal business.

    my questions are, if i form an LLC or a partnership will i be able to cover it under my existing corporations GL?

    would it be best to form an LLC or a Partnership?

    wouldit be best to keep it as a seperate entity to protect my landscaping business?

    any other input woud be greatly appricated. thanks for your time.
     
  2. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Keep it separate.Also someone needs to be a majority owner. Get the lawyer going on this before you do anything,better to spend money now because it will cost a lot more in the future if it don't work out.
     
  3. thanks for your input, ive seen you comments all over the place, just wanted to say thanks seems like your helping everyone out!

    quick question: why would somone need to be majority owner? for decision making? id like to keep everything 50-50 if possible.
    ive been friends with my prospective partner for a few years, were on the page with most things, and negotible with whatever we dissagee on. not sure if that makes a difference.
     
  4. BC Plower

    BC Plower Junior Member
    Messages: 5

    JMHO-
    Be VERY careful with this....From personal experience....sometimes FRIENDS as partners can be a ton of trouble...Business problems become personal problems become LOST friendships.:realmad:
    I agree that one person needs to have majority....so to be as fair as possible, go 51% and 49%
    .Have a GOOD lawyer make up the partnership agreement and cover your hinie...!!!
    That way somebody..(hopefully you)...gets to make a final decision.
    Again, just my opinion and best of luck.
     
  5. plowingkid35

    plowingkid35 Senior Member
    Messages: 255

    I agree 110% I did have a partnership fall through, best friend for as long as i can remember and then he decided he didnt wanna do any work and still recieve 50%.... :eek: I agree with BC Plower, covers your A** IMO it aint worth it no matter what Thumbs Up
     
  6. Mick76

    Mick76 2000 Club Member
    from Maine
    Messages: 2,157

    Did a partnership one time.....one marriage is enough....never again
     
  7. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Marriage is not a partnership,it's a dictatorship! :gunsfiring:
     
  8. plowingkid35

    plowingkid35 Senior Member
    Messages: 255

     
  9. RepoMan1968

    RepoMan1968 Senior Member
    Messages: 439

    Honey hand me the hairdryer

    hairdryer.jpg