Hello, My friend was gifted a minority stake (20%) in a non-tech startup company. There is notarized paperwork noting that my friend owns 20% of the company. As part of the agreement, my friend was receiving a salary on the payroll.
Cut to 5 years later, the business is doing great but the previously silent majority stakeholder now wants my friend out.
My friend was actually handed paperwork, similar to when you're let go by a company, given 1 pay period extra of pay and told to contact their accountant to be bought out.
I know my friend needs to lawyer up (we're gathering contacts) but we're quite confused as to whether what is going is actually legal. The ownership documentation doesn't mention anything about how a buy-out could happen.
I told my friend not to sign anything and not to cash any checks they've been given, until they have a chance to talk to a lawyer. Any better advice? Is this going to get ugly for everyone?
Submitted September 09, 2022 at 04:29AM by tthatfreak https://ift.tt/a65IoTk
