When a friend asks you to be his partner.

[Y_Participant 4591]

He is out of the money. You will be the fall guy. Period.

[StandUpGuyParticipant 334]

Politely tell him that it is not worth the risk. Because that is exactly what it is,risk. It he persists;there is something else in the works. Walk away.

[iMickey503Participant 12465]

You are all alone. If you have been falsely accused of RAPE, DV, PLEASE let all men know about the people who did this. http://register-her.net/web/guest/home

[Gravel PitParticipant]

CAPTAIN, it really depends on the business, the man, and how he has it set up.

If the company is an LLC, Limited Liability Company, the debts won’t matter. Unless its a Line of Credit to a bank…. but everyone else can go to hell minus the IRS.

So do not automatically think you’re taking a risk. He is not asking you for capital. I may be mistaken, but in order to qualify as an LLC, you can’t be 100% owner, this probably why he asked you in the first place.

Once you become an LLC, life is much better. But you need a partner, someone you can trust who isn’t a piece of s~~~.

It also depends on the business. What is the business? What does it do?

Small businesses range in what they do. I’ve seen start-up Drone Flying companies, Beer Girl companies, Yoga Work Out, Temp Agency, Salons, Marketing Development and much more.

I want to see some excel spreadsheets and a run down on how he is doing. Is he in the black? How much debt is the company carrying, how many people does he employ. What industry is it in?

There are too many variable and non-business owners commenting who don’t know the facts. I know small business. I know some laws.

For instance, if you owner half a million in small condos, its a brilliant idea to start an LLC with a partner and put all that real estate in that company. Businesses get tax write-offs!

[Author]

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