What is the name of your state?What is the name of your state?What is the name of your state?Hello:
I am 40% owner of an LLC with one partner. Our LLC is registered in South Carolina. We created and manage a monthly magazine. While she paid for the first two month's printing costs, I paid for all software and misc. expenses. Our operating agreement states that start up contributions were equal to our 60% 40% ownership structure. We split profits 50-50. This is also in our operating agreement.
I sell all ad space resulting in the only income for the magazine. I also handle all PR, design the ads, write 2 articles and cover a portion of our distribution area. My partner manages our outsourced accountant, covers the other half of distribution, writes most of each issue and manages our three contributing writers. She also answers our fan mail and tends to tax related issues.
My husband has recently been transferred a few hours away and I will be moving with him. I will maintain all magazine duties currently save for the distribution, which we have recently hired a company to cover. I will continue all other tasks stat and will be in the area once a month in order to meet with potential advertisers and assist with each month's photo shoot.
My partner presented me with a document stating that in order to keep my 40% ownership I had to keep up with sales goals she set forth. The document stated that should I not do so, she would buy me out. I am not concerned about the numbers. My concerns are that I do much more than sell ads and that my involvement with this publication on a creative/intellectual property level is on par with her own. Can she suddenly reduce my "ownership" to my ability to sell ads alone? Can she determine that everything else I do for the company does not constitute ownership duties?
I believe this is a knee jerk reaction to my move -despite being able to continue most of my tasks without problem.
What should I do now? Present an alternative document?
Suggestions? Many thanks!
I am 40% owner of an LLC with one partner. Our LLC is registered in South Carolina. We created and manage a monthly magazine. While she paid for the first two month's printing costs, I paid for all software and misc. expenses. Our operating agreement states that start up contributions were equal to our 60% 40% ownership structure. We split profits 50-50. This is also in our operating agreement.
I sell all ad space resulting in the only income for the magazine. I also handle all PR, design the ads, write 2 articles and cover a portion of our distribution area. My partner manages our outsourced accountant, covers the other half of distribution, writes most of each issue and manages our three contributing writers. She also answers our fan mail and tends to tax related issues.
My husband has recently been transferred a few hours away and I will be moving with him. I will maintain all magazine duties currently save for the distribution, which we have recently hired a company to cover. I will continue all other tasks stat and will be in the area once a month in order to meet with potential advertisers and assist with each month's photo shoot.
My partner presented me with a document stating that in order to keep my 40% ownership I had to keep up with sales goals she set forth. The document stated that should I not do so, she would buy me out. I am not concerned about the numbers. My concerns are that I do much more than sell ads and that my involvement with this publication on a creative/intellectual property level is on par with her own. Can she suddenly reduce my "ownership" to my ability to sell ads alone? Can she determine that everything else I do for the company does not constitute ownership duties?
I believe this is a knee jerk reaction to my move -despite being able to continue most of my tasks without problem.
What should I do now? Present an alternative document?
Suggestions? Many thanks!