Clearly, you have the option to quit working at your own business if you’re ready to be done with it. You don’t just want to quit, though. You want to sell the business and get the money out that you have invested. You may see this as your option to retire, or you may want to move on to another endeavor.
But what if your partner doesn’t want to sell. Do you have to keep working there? What options do you have?
The easiest option is just to sell your share of the business to your partner. If you own 50% of the company, you can have a valuation done, split it in half, and let your partner buy you out so that they have full control. However, what if your partner doesn’t have the money to do it and does not want to take out a loan and acquire additional debt.
In that case, depending on your partnership agreement, you may be able to sell to a third party. This could be an outsider or another employee. You get your money out, your partner gets a new business associate to replace you, and the company continues to run.
This is when the partnership agreement really matters, though. Your partner likely wants to have some say in who replaces you. If the agreement gives them that power, you can run into issues. Say you find a willing buyer who can meet your price. That’s perfect on your end, but, if your partner rejects that buyer, then you may need to keep looking.
As you can see, these situations get very complex and you definitely need to understand your legal options. An experienced attorney can provide valuable guidance.