My business partner is leaving me to run the business, but still wants 50% of profits. yes or no?

The business is located in Cambodia, no law is binding between us.
He tried to start the same type of business in Laos, but it failed. Then brought his child and Laos wife to England with him. We did not put in money to start the business.
I offered 20% to him he said no.
No money was put up by either party to start the business.
So what is fair?
bobubet123
Asked Apr 30, 2015
If your partner is not providing labor or capital to the business, then your partner should have no share in future profits. However, legally most partnerships either divide profits equally, or have a written agreement on how to divide profits. There may have been assets accumulated in the business, including goodwill, and your partner has a reasonable claim to 50% of the value of those assets. The best solution in my opinion would be to "close" the partnership, sell all the assets, send him 50% of that money, then start a "new" business doing the work and earning 100% of the profits.
However, if the major asset is goodwill (people trusting your company to provide good service/products and not to cheat them, etc), closing the business does risk losing your goodwill. I guess the question is how similar you could make the name of your new company to the old without your partner calling foul.
Honestly, unless your partner has some sort of political connections did other networking that was essential to your business, he really has no claim on what you earn by working, but you may need to change the legal entity that you work for to achieve that.
computant75
Answered Nov 12, 2015
Edited Nov 12, 2015

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