Germanhoney
Junior Member
FLORIDA
I have a friend that is a minority owner in a dirt bike/atv repair shop. He owns only 15% of the company and has been a minority owner for 5 years now.
In this time he's only received about $2000. Half of that was parts for his own personal vehicles. He's asked why he's not getting any money when the majority owner drives brand new vehicles, goes on vacations and such. The majority owner claims they aren't making any money. Just breaking even.
My friend repairs about 5-6 rigs a week...average bill for these is anywhere from $400-500. That's just repairs and doesn't include people coming in buying new 4 wheelers or safety gear or parts.
It's a tiny little shop, no bigger than an average sized 1 bedroom house. The majority owner is constantly buying new parts and gear that he claims the customers are asking for but they've been sitting on the shelves collecting dust.
So my friend asked to see the books...see where the money is going but the majority owner claims he has no right to see the books since he only has 15% ownership in the company.
What can my friend do?? Is what the majority owner doing legal?
I have a friend that is a minority owner in a dirt bike/atv repair shop. He owns only 15% of the company and has been a minority owner for 5 years now.
In this time he's only received about $2000. Half of that was parts for his own personal vehicles. He's asked why he's not getting any money when the majority owner drives brand new vehicles, goes on vacations and such. The majority owner claims they aren't making any money. Just breaking even.
My friend repairs about 5-6 rigs a week...average bill for these is anywhere from $400-500. That's just repairs and doesn't include people coming in buying new 4 wheelers or safety gear or parts.
It's a tiny little shop, no bigger than an average sized 1 bedroom house. The majority owner is constantly buying new parts and gear that he claims the customers are asking for but they've been sitting on the shelves collecting dust.
So my friend asked to see the books...see where the money is going but the majority owner claims he has no right to see the books since he only has 15% ownership in the company.
What can my friend do?? Is what the majority owner doing legal?