Ep. 137 - Adding a New Partner: Legal Risks Business Owners Must Understand
About this episode
This episode discusses the legal risks and common mistakes business owners make when adding a new partner.
Bringing a new partner into your business can provide capital, expertise, and growth opportunities—but it can also introduce significant legal risks if the relationship is not properly structured. In this episode of the Business SOS! podcast, Rich Sierra explains the most common legal mistakes business owners make when adding a partner or investor. He discusses why many partnerships begin informally, how unclear expectations can lead to disputes, and why detailed operating agreements are essential. Rich also covers key issues that must be addressed before bringing in a partner, including ownership percentages, management authority, financial contributions, and profit distributions. The episode also highlights the importance of buy-sell provisions, exit strategies, and dispute resolution mechanisms that help prevent costly litigation. If you are thinking about adding a partner, investor, or co-owner to your company, this episode will help you understand how to structure the relationship properly and avoid conflicts that can destroy the business. How to Contact Rich Sierra: Email: Rich@RichSierra.com 📞 Phone: 866-842-5202 🌐 Website: https://www.FloridaSmallBusinessLegalCenter.com…
People in this episode
Host: Rich Sierra
Topics covered
- partnerships
- legal risks
- operating agreements
- business growth
- dispute resolution
Keywords
- legal mistakes
- partnership
- operating agreement
- business owner
- dispute resolution
Mentioned in this episode
Organizations: Florida Small Business Legal Center
Products: Business SOS! Eight Common Legal Mistakes Business Owners Make and How to Avoid Them
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- Ep. 138 - Mediation: How Business Disputes Can Be Resolved Without Trial
- Ep. 136 - Buying or Selling a Business: Legal Mistakes That Can Cost You Everything
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