DMiller6868
New Contributor
I was trying to search for some information and keep falling short...I've recently started a business with a partner whom is a minority (I am not). He has 51% of the business, I have 49%. We are trying to raise money and the requirements indicate, as the minority, he must maintain 51% of the company. It certainly doesn't seem fair that I have to get diluted from the business in order to get a little cash flow going.
Are there any LEGAL ways around this from a distribution standpoint? Any creative things I'm not thinking of, or am I avoiding the purpose of us having a "minority owned" business? If my investors were all minorities and they didn't have operating/voting rights would that be permissible?
Surely this has come up for someone else and I figured I'd start here for some help. Thanks!
Are there any LEGAL ways around this from a distribution standpoint? Any creative things I'm not thinking of, or am I avoiding the purpose of us having a "minority owned" business? If my investors were all minorities and they didn't have operating/voting rights would that be permissible?
Surely this has come up for someone else and I figured I'd start here for some help. Thanks!
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