Hi Rodinhooders,
Me and my friend are planning on a food startup together, The question we got stuck on is…who should hold what in the startup ? (I`m not sure If we should even think about this before starting up)…However, As per my friend, because she is the one investing on it, she will own the venture solely (Sole properitorship) and I`ll get 50%, if we get profits.
I think, ownership should be shared and profits should also be shared equally (Partnership Model) though she is investing, the majority of workarounds will be done by me. In this case because she is the one who is doing the initial investing, she can own 60% of the ownership and 50% of profits and me, 40% of the ownership and 50% of profits.
Can anyone please help me understand how do I go about taking an important decision that`d help us in being clear and avoid any confusions in the future (PS: my friend is an elderly person with much more experience than me and has good understanding of various businesses)
Your opinions and suggestions are highly appreciated and thanks in advance
This would be of great help, Rodinhooders
Cheers