Ask The Business Lawyer

Horror of horrors!  You're stuck in a business partnership with NO agreement.  You have to get out . . . or get the others out before you go postal and end up in a prison of a different sort.  What can you do?

Kathleen Ryan O'Connor answers that very question in Forbes Small Business. After a brief "I told you so" about not having a written agreement, she gets down to brass tacks:  if you want to stay, you'll have to be prepared to make concessions.  Ya gotta give to get.  But what she doesn't mention is this:  if you can't reach an amicable agreement, your next stop is either the courthouse or to walk away.  And neither is a particularly attractive choice.

From Ask Entrepreneur, comes this Q&A on an issue that arises quite frequently in business partnerships:

Q.: How do you deal with business partners who have a different vision for the future of your business?

Read on to learn mediator and conflict management expert Dr. Eleanor Robin's response to this thorny question!

Q.:  I started an LLC in the state of Arizona with two partners. After a year in business I am choosing to take another path and I am attempting to separate my legal liabilities. We initially signed a three-year lease with personal guarantees and currently have 23 months remaining. I am trying to figure out the route to take in order to bring a convincing argument to the property manager/owner to be removed of liability.

When a partner resigns from an LLC, what can that partner do to remove liability from the lease?

Read on to find out!

Q.:  Can a business partner be charged with embezzlement? My husband owns a business along with a partner whom he went to school with. The are equal partners. We have discovered this year he had a $10,000 cashiers check issued to himself from a business loan that acts as a checkings plus account. He also has approximately $40,000 in exessive business expenses that are not legitimate.  What can be done?

Read on to find out . . . !

With Valentine's Day just around the corner, it's no surprise that thoughts turned toward relationships. And frankly, with romantic partnerships, whether we like it or not.

We've all heard the stories (and seen the Jerry Springer episodes) where romantic couples, having married within nanoseconds of each other, grow to realize that their partner:

• Has really annoying habits
• Has grown into a totally different life path (wants to give it all up to enter an ashram)
• Is completely irresponsible with money, or
• Wants to lead a totally different lifestyle from you (you'd like time with the kids; your partner is a workaholic)

Whatever the reason for the disagreement, it's very likely that, with a little digging and probing questions, your incompatibilities could have been uncovered far earlier. Same thing happens with business partners. Entrepreneurs are often so taken with the first flush of start-up fervor that they don't take the time to see whether their potential business partner will be right for them for the long term, or only the short-term.

If your business plans for 2010 including having a business partner, make sure you get your copy of The Entrepreneur's Prenup: How to Choose a Business Partner Who Won't [bleep] You!  There's more that goes into the partner-screening process than you think, and you certainly don't want to look in the mirror this time next year, realizing that you've hitched your wagon to an albatross. 

Click here for a sneak peek of the valuable information you'll get from this book-CD-workbook program!