Laurel Mintz has built a career that blends her deep personal passion for food, wine and lifestyle with considerable business acumen and legal expertise. Areas of Focus Include: - Branding - Business Entity Filing - Marketing - Trademarks/IP - Strategy - Contracts - PR - Negotiations - Events - Social Media
it depends on what your partnership agreement said but ultimately you should be able to create or execute on your buy sell given the terms of your partnership agreement. He should also forfeit any stock shares issued. If none of that has been done if the partnership was never inked properly, then it would just take an attorney to draft the dissolution paperwork and take him off any shareholder docs, etc.
This is a convoluted problem. I would have to read the contract to see what was outlined and speak with a CPA to determine tax liability. Generally you can close a company with the state and fed and pay pennies on the dollar by declaring bankruptcy if you are looking to get out of it altogether.
You should definitely have some sort of incorporation with a corporate book so that you are protected from liability should anything go wrong. The reasons you incorporate are for 1. liability purposes 2. tax purposes 3. it holds you out as a business much more professionally and will change how you treat the business as well.
If you are looking to fundraise at some point I might suggest a corporation. you are looking at about $2,000 for incorporation, corporate book and veil protection which would include all of your by-laws, minutes, stock issuance, IRS docs, etc. Also prepare yourself to pay an annual LLC or Corp. fee of $800.