forming a safe partnership with a stranger?

Discussion in 'General Business' started by harmoniusdesign, Dec 18, 2009.

  1. #1
    So I found a potential business partner here on these forums. We want to start a web based business. How can we share profits doing this? He currently is paying the hosting and everything and he just needs my technical service to help get it up but says I will be cut in on profits. Is there any way to safely ensure this? What's my risk looking like?
     
    harmoniusdesign, Dec 18, 2009 IP
  2. paradigmad

    paradigmad Peon

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    #2
    What country are they from? I would try to get a contract in writing and also find a third party tracking system to make sure neither of you are getting ripped off.
     
    paradigmad, Dec 18, 2009 IP
  3. necroz

    necroz Peon

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    #3
    The best way to share profit is to start an LLC. You need some organizational form so the organization owns the business and not single party. That way your risk is minimized.
    If you don't start business organization, you risk losing all profits. If one party owns the business, the other one doesn't have any control. Even if you have signed written contracts it is still inferior compared to business organization.
     
    necroz, Dec 18, 2009 IP
  4. mentos

    mentos Prominent Member

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    #4
    So I found a potential business partner here on these forums. We want to start a web based business. How can we share profits doing this?
    The profit is share on 50:50 ratio.

    Is there any way to safely ensure this? What's my risk looking like?
    Since the hosting and domain is under the name of the partner,you need to make sure it have been signed a contract incase anything bad happen.
     
    mentos, Dec 19, 2009 IP