What is the name of your state (only U.S. law)? California
Hello, I'm pretty new to business law. Suffice it to say it's safe to assume I know nothing. I have started a consulting company. At the onset, I had the intention of partnering with someone. She gave me $120 to secure a business address (half of a $240 expense) which I did. I kept working toward the goal of an operational business, while she showed less enthusiasm in the process. I took the reigns and have incorporated the business and opened a business account with a $3k initial deposit (my money), both in my name.
At this point I don't really want to be partners with her due to her minimal effort. I'm wondering what obligation I have to her if any. The only place her name appears is on the list of approved names for delivery at the business address. The entirety of her contribution has been some of the initial planning and the aforementioned $120. We do not have a drafted partnership agreement or any documentation discussing ownership.
I'm now at the point where I want to pursue clients, but not before getting this straightened out. I'd like to know what my options are and if I have any obligation to her. What would dictate her ownership of the company? Does the $120 mean anything? If I give her $120 am I in the clear? Does any of that even matter?
Any info and advice is much appreciated. Thank you for you time.
Hello, I'm pretty new to business law. Suffice it to say it's safe to assume I know nothing. I have started a consulting company. At the onset, I had the intention of partnering with someone. She gave me $120 to secure a business address (half of a $240 expense) which I did. I kept working toward the goal of an operational business, while she showed less enthusiasm in the process. I took the reigns and have incorporated the business and opened a business account with a $3k initial deposit (my money), both in my name.
At this point I don't really want to be partners with her due to her minimal effort. I'm wondering what obligation I have to her if any. The only place her name appears is on the list of approved names for delivery at the business address. The entirety of her contribution has been some of the initial planning and the aforementioned $120. We do not have a drafted partnership agreement or any documentation discussing ownership.
I'm now at the point where I want to pursue clients, but not before getting this straightened out. I'd like to know what my options are and if I have any obligation to her. What would dictate her ownership of the company? Does the $120 mean anything? If I give her $120 am I in the clear? Does any of that even matter?
Any info and advice is much appreciated. Thank you for you time.