If I own the commercial operation which I only proposed as well as someone invests $3,000 for the essential return, after I compensate them do they have any explain to the business? the written agreement was done which they would get 10% of distinction atleast until they were paid may be 2,000 over investment, as well as after I compensate him can he take me to justice for more?
I indispensable the money, he seemed to consider which if he gave me the income as well as didnt do anywork he would have claim, he fundamentally suspicion once i used his income he could lay behind as well as only pick up partial of the commercial operation income forever.
How to Invest Money to Make Maximum Profits
{ 3 comments… read them below or add one }
Verbal contracts are hard to prove in court. Yours will be particularly difficult because you are using words like “at least” and “maybe.” It sounds as if he was looking to be an investor, and you were only looking for a loan. That is not good, because there was no meeting of the minds about intent.
Absolutely what the previous answer said..
You were definitely seeking a loan and not an investor..
As long as you don’t have any legal papers drawn up with the party, they have no legal claim to your business.
In the future though, be sure that if you do this again, that you make up a document in agreement with you and the other party stating the intent of the business transaction. Once signed by both, NO one can make any claims to your business.
Paper trails can be good and bad too. Just be sure if you are going to use a paper trail in the future is is clearly stated in definite terms “in your favor”
take care.. I don’t see any need to worry in your current case…
I came here through your profile after reading your other question about large sum of money,gratz man! I hope one day I’ll be able to succeed big like that.
Now I have no idea about legal view of the situation,but the ethical right thing:
1.If he believed in your business,and invested his money with you to make returns or at some point to claim sale value of business, then this makes him your partner,even if he did not do the work.
If you two started the business together and he believed in it and cared about it and he financed it, then he deserves to be a partner.
it’s like someone has a creative idea and someone else fund it,that makes them partners.
2.If he just gave you the money,not knowing what the hell you will use it for and just waiting for returns and profits,then that is a loan.
3.Now if he is your partner, then the terms that you both agreed on should strictly apply….and once his 2000 agreed on target has been made and no change of terms has taken place, it is considered that you bought him out,and he should not claim anything because he has received his part of the deal.
I once read that,Dominos Pizza was started by two brothers,and one of the brothers bought out his bro share with his car a volkswagen beatle,and became the sole owner of a later to be successful chain.
4.Coming from someone who has less than $1000 in my bank account,I say do the right thing and life is too short to be using money that should belong to others fairly, especially if the money is already in huge amounts and can make you live happily any way.
You of all people know exactly what both of you agreed on and what your intentions and terms were,so I’m sure you will do the fair right thing.