A Partner?

[Caryl Y]

Hi.... Needing imput about bringing in a partner... I have been in business for 2 years.. I have thought about having a partner for quite a few reasons... and now I have the chance to do it.... She has her own camera, lens etc and nothing else... and I have the furniture, props, lights, BGs etc. (I have had a studio before)... plus my own camera, lens etc.

If this happens, what would be the fair and best business way to do things... what is a fair "trade" for being a partner on her side...

What is it that needs to be in a contract?

Thanks for all your help

[brmill26]

I would recommend seeing a lawyer and telling him all of the above. He can help you decide what sort of entity will best protect your assets from 3rd parties and from your partner. That could be anything from an LLC to a simple partnership depending on what you want to do. Certainly you don't have to use a lawyer, but I would read up very well on partnership law in your state if you don't, because the default rules of partnership will apply to anything you don't specify by contract. Good luck!

[prophotolife]

I agree with Brad 100%. I have a 50/50 partnership in a commercial photo studio and it's been great. My business partner, Bob, is also a good friend, but the first thing we did was hire a lawyer to create a partnership agreement. We trust each other fully, we just didn't want to be burdened with questions later so we created a clear understanding and made it legal before even opening the door. It's just one less thing to think about and helps alleviate misunderstandings.

We operated as a partnership for a couple years until we knew the business was going to "fly" and then we became equal partners in an LLC. If you have the money and inclination to do so from the start, the LLC will give greater protection to both of you. I'm a big believer in business partnerships (it helps to have help) but getting the clear understanding out in the open at the start really is vital, I think.

Good luck!

[DerekSom]

You can create your business with partners, but their number should not exceed 50 people if you decide to create an LLC. If an LLC is opened by one participant, its constituent document is the Charter of the company, and with a larger number of participants, a constituent agreement is concluded. You can collect all these documents yourself or appoint people who will deal with this, I registered LLC in Colorado , it was quick and without unnecessary hassle. Hope I helped you.