what should i do? (long thread)

Discussion in 'Lawn Mowing' started by lawnwizards, Sep 19, 2006.

  1. lawnwizards

    lawnwizards LawnSite Silver Member
    Messages: 2,439

    o.k. i've been in business for about 4 years me and my buddy are partners. the thing is hes recently taken a full time job about 1 1/2 hours away. in turn, he hires his brother to take his place and work while hes gone. (under the table). i don't really like it but its his a$$, or can i be held liable too? also, i really like the way his brother works and i want to buy my partner out but he wants 10,000 and there is no way i'm paying that much. i could ask him for a buyout then turn around and steal all the accounts back because they all know me and they don't know him at all because he never cuts. thats the dirty way. what i was thinking is that the start of next year i was planning on getting a new walkbehind, trimmer, and blower. what i want to do is bid on new properties and not include my partner in on them and do the legit employee thing with his brother (taxes, workmanscomp, etc...). i still plan on continuing with the current customers we have but what i get new next year will be mine only. do you think this is underhanded on my part or is it the only thing i can do since he won't accept a reasonable buyout. i'm just sick of him not doing a damn thing and still making money while i bust my a$$ everyday and barely scrape by. what would you all do? sorry for the long post.

  2. rodfather

    rodfather LawnSite Fanatic
    Messages: 9,501

    First thing I would inform him of Randy is your business relationship is with him, not with his friggin' brother. Disolve that whole mess and start all over as soon as ya can IMO.
  3. newz7151

    newz7151 LawnSite Silver Member
    from Tejas
    Messages: 2,419

    Is your company filed on paper, like with the state as a partnership? If he is doing ANYTHING illegal and you know about it (it would show up in an audit of the paperwork) and you are legal partners in a business, then yes, you would be just as liable as him. Your best bet may be to try and dissolve the partnership (if it's a legit legal partnership) and recreate a new company.

    I guess you could always threaten to blow the whistle on him paying his brother under the table and try to get him to legally sign away any of his rights to the company.

    If you have a record of what each person brought to the partnership in terms of equipment and startup cash, you may be able to get away with paying out his cost of the agreement.

    Post back on how the partnership is organized before anybody else can give accurate advice.
  4. lawnwizards

    lawnwizards LawnSite Silver Member
    Messages: 2,439

    basically we both started with nothing and we split the cost of everything we have now. heres the rundown, 1 2004 48" bobcat classic belt, 1 1997 32" encore proline belt, 1 2003 lawnboy 21", 1 2003 toro personal pace 22", 2 echo srm210s, 1 shindaiwa t231, 1 ryobi trimmer, 1 husqvuarna blower, 1 5x10 trailer. everything is paid for. the only paper that shows us being partners is our general liability insurance. i do all the paperwork and figure up what we gross each year and then i pay taxes on half and him on the other half(i think). is this along the lines of what you all need to know? if not, tell me what else you need. thanks .
  5. Tharrell

    Tharrell LawnSite Silver Member
    Messages: 2,967

    In my not so humble opinion, this thread should be a "sticky" for anyone contemplating a partership.
  6. lawnwizards

    lawnwizards LawnSite Silver Member
    Messages: 2,439

    anyone else got any ideas of what to do?
  7. MarkintheGarden

    MarkintheGarden LawnSite Bronze Member
    Messages: 1,140

    So your partner wants 10 grand for his half, how much you willing to pay.

    Your business will not be worth much if you did what your partner did and just send someone in to do your job. Let your partner know that he has already broken a big part of the partnership agreement by sending in an under the table employee to fulfil his commitment. Send the brother home till you resolve it. Pay him what you think his half is worth, he obviously does'nt know.

    Just one opinion
  8. prizeprop

    prizeprop LawnSite Senior Member
    Messages: 822

    In my honest opinion,If your partner needs to find another job,your company isnt making enough money to begin with. If half the business is not worth $10,000 then your not making enough money.period. Split the business now and start over. At 30 years old you need get serious. He's dragging you down.
  9. chimmygew

    chimmygew LawnSite Senior Member
    Messages: 578

    If it's not a legal partnership, offer him half on the equipment and inform the customers what is going on. If he is never there, he is not holding up his end. Take it and leave him in the dust.
  10. absolutelawnman

    absolutelawnman LawnSite Member
    Messages: 83

    Stop giving him his half. Really, if there is not a legal partnership agreement then you guys have agreed to work together, if he is not working with you then I would stop paying him. Tell him you are going to get a full time job and you guess the "partnership" is over. Leave is arse without the money go file a joint partnership aggreement with his brother leave him out of the mess, or simply file your on corporation papers have his brother fill out an application of employment etc and pay him legally, and cut off your buddy. Be a nice guy and give him the depriciated amount of the equipment and say thank you.

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