Only you know the main causes for your businesses situation , employees? poor investments? Bad Money Management? Poor Pricing? You are were you are at for a reason , it may be one out of your control but its still a problem that needs to get fixed before you move forward , sinking a bunch of money into a sinking ship will only keep it afloat temporarily. In the end option one will be a big failure and cause you a bunch of stress without route causes being fixed , you lose his money and when you are back to where you are now you have to sell everything because he gets 60% OF EVERYTHING YOU OWN REGARDING THE BUSINESS. Is the shop at your home? be careful with this the implications depending on the contract can have pretty big affects on you. If he wants 60 he should do 60% of the work load weather it be office work etc , but most likely you will need more than money, that should be the result of a properly ran business. I am just saying this from my past experience with help they cost me more than they made me I went back to solo and a helper here and there and I am fine in fact I am doing better than I was doing trying to keep a sinking ship aflot , the big advantage to running a big business is being out of the field and with this invester sounds like that would not be the case. only you know whats best the little factors matter so much in these situations. If you go the investor route renagatiate to get a minimum of 60 you 40 them or just offer them interest if they give you a loan so they start getting there money back quick. I would try some different routes but only you know whats best for your company , and best of luck.