legalhelp

Great points about the buy-out and non-active founders shares.

I'm not trying to ask for a piece of what they create in the future. If the company makes money, I'd like to get paid back for the platform that I helped build which enabled them to get to the point where they are making money. Do I deserve to ask for that?

I think with enough determination the current owners could pivot into something that makes money. They would be building on top of the branding, website and traffic that I put time into building.

Maybe it's not a question of if it will fail or not, it's a question of how long and how many pivots until the company becomes profitable?

I just don't want to stick around for the pivots. It would be nice to get something in return if the company eventually becomes successful. Am I being too unreasonable in wanting something if - and only if - the company starts making money if what I helped build enabled the team to get to that point?

No one is sure about sticking it out with this company and I doubt any of the owners would want to put the time and money into becoming an investible entity. Without becoming an investible entity, I have no guarantee that I will receive anything - other than the written contract we sign, right?

I would definitely bite at the chance to pull $50k so I think you're right - that valuation would be too high.

I could walk away for $10k. That puts the company valuation at $40k. Before we brought on the last 2 owners, we talked about creating a separate agreement between me and the original founder where he pays me $9k back over time if the company makes money. So I think the $40k valuation is a good place to start.

It's more than just being burned out. I don't believe the owners are good co-founders. This was my first venture into entrepreneurship. I think there's local value in the brand and potential for it to transform into something profitable. I think it would take another 6-12 months to find something profitable before everyone gives up on it. My problem is I don't want to wait that long.

I'm already working on many other projects outside the scope of this company. Everyone is putting money into the company to keep it going right now. They don't think it's fair - and rightfully so - that they keep paying while I stop paying and reap the future benefits if any.

Are you suggesting I step back and be just an advisor still? Also, if I did step back and they decide to take out a loan in the company's name, wouldn't I be responsible for a portion of that loan even if I didn't know about it?