business relationship went south, ltd co advise please

[Glasgowrob]

right bit of background,

set up a ltd co with a good friend of mine approx. 4 months ago, all was well up until last month and we had a disagreement about the amount of money he was taking out the business. result being a message from him stating hes not prepared to continue working in an environment where he feels belittled(I accused him of being shortsided for overpricing work) short term cash rather than builing relationships long term with clients.

he stated last week that he was planning on sitting on the back bench as a 50% shareholder and director. stating that he would source his work elsewhere and not take work away from the business. we called a meeting for tonight to discuss this either a resolution or buy out.

I was informed earlier this week that he has started working for one of our local competitors and this morning noticed I had been removed in all capacities from one of our facebook pages. I locked down all our other facebook pages removing his access as well as our own internal system which he has access too. bear in mind he has already stated he is no longer working for the company day to day and is now working for a rival company.

cue this evening our website going down and a message from him that he has taken the website down and wants £5000 to buy him out and will return our website once we "sort something out". we do a small but not insignificant bit of work which is gained from our website. I have spoken to our web developer (who happens to be the brother in law of my business partner) who does not want to get involved but still has not restored our website.

we have a number of issues,

firstly
we have a verbal agreement with a 3rd party to take a 20% stake of the business for £5000 the 3rd party works with us and has already made payments towards this figure totaling nearly £2000 and is owed a further £2000 by the company. business partner is refusing to honour this saying hes not paid in full so tough its not a valid agreement( verbal agreement between the 3 of us)

my business partner is refusing to answer questions relating to work he has supposed to have invoiced meaning we cannot get money that we are due I have asked for copies of invoices and been ignored.

we have a few liabilities 3 year lease on premises 24 month contract for phone and BB etc

all correspondence has been online and I have records (not that its worth anything I guess)


if theres anyone out there that can offer some sound advice or even can works in the legal profession and doesn't want an arm and a leg i'm all ears.

[MrOrange]

My non-legal opinion:

• Without a watertight shareholders/directors agreements you'll waste more money and emotional energy than it's worth
• As the business is so new, consider winding the whole thing up; split the proceeds and start again from scratch
• The sums you mention are all quite small, suggesting you/the co is lacking adequate funding. If the business is a flyer than go borrow £20k to buy everyone out cleanly

Note: Going into business with friends or family is generally high-risk and usually has winners/losers, creating emotional tension that gets personal quickly.

[drainbrain]

If it is a taxi-type business I might be interested in investing in it as a sleeping partner and possibly as an active partner. If you are in Glasgow then you will know several successful businesses that are or have been mine and, apart from money, I come with many references from people who have worked with me. It has to be fun, though. That's essential. As to your current acrimony, I am very good at sorting these things out. Downside? I am probably not wholly sane, but I am highly functional.

PM if interested. My phone number by return.

Edited by drainbrain on Monday 31st October 23:50

[Glasgowrob]

got your no braindrain, will give you a call next week if that's ok?

[drainbrain]

Glasgowrob said:

got your no braindrain, will give you a call next week if that's ok?

Totally. Leave voicemail if I don't answer. 100% reply guarantee.

[98elise]

drainbrain said:

As to your current acrimony, I am very good at sorting these things out. Downside? I am probably not wholly sane, but I am highly functional.

Edited by drainbrain on Monday 31st October 23:50

I assume you dangle them off Glasgow bridge until they come to their senses

[drainbrain]

98elise said:

I assume you dangle them off Glasgow bridge until they come to their senses

Nope. It's a lot easier, quicker and saves all the jaw-jaw if you just DROP them off the bridge. Why fekk about?