So i'm kind of an accidental entrepreneur. hence the dumb question. I got into the nightclub business as a dj and now am a partner in four clubs. We've created a niche brand that has proven to be successful wherever we go, so far Orlando, Austin, Houston and Las Vegas. We are hoping to build a name recognition in each our new markets. As we expand to we always like to include friends and employees. I'm not sure how best to fairly do this however. My main partner and I have kind of created the brand and been doing it for a combing 30+ years. It's as low risk of an investment as i can think of so the question is how do i sell a percentage??? If I told a friend that I would sell him 15% for 35,000$ and he agrees and I put that percent in the new clubs bank account are my partners and i ethically required to match that dollar for dollar in the account??? And say by the grace of god we are able to open a turnkey venue at no cost and immediately start making money… do i give the friend back his 35$?? That doesn't seem fair to me and the partners that spent years building the brand.
Or is the way to do it to pocket the 35K dollars and then match any cash infusions needed dollar for dollar.
As you may have surmised, I sold a friend 35k for 15% of the company. That was the end of the discussion, now my major partner and i have bought the building and started the LLC for the club and there is some disagreement as to how this should actually take place.
Any advice and opinions would be much appreciated.