rollingonrubber
10-12-2014, 01:16 PM
Hey all,
New to the forums and really dig the post. I needed some first hand experience and thought this was the place to ask. I have a business that I started a while back that is starting to come into fruition. I currently run a lifestyle and apparel brand and design studio. The design studio started in 2008 but was never legalized. My newer company (lifestyle apparel brand/goods) is kicking off great. Now I want to operate them under the same umbrella as they are parallel industries and can service each other. This is what I want to do and with my partners I currently work with. Please let me know what your thoughts are and if I'm doing this right.
Since my newer company is generating more of a customer base I want to place that into an LLC with the design studio being the DBA. My long time partner of the design studio started doing more independent work and the studio is still available and in service however not generating much of an income. I'm trying to figure out the best way to split profits for this LLC for the members included. Since I created the newer brand I was thinking of doing a 50/30/20 split between the members as a whole. The individual receiving the 30% would be my long time partner since we started our design studio together in 2008. He also helped me in coming up with the name for my new brand. However, my partner receiving the 20% has been a long time friend for almost 10 years now and we've worked together in the past on an old startup he did that fell through. He's great and invested in my current brand. My partners are smart individuals and I just want to make sure everything is fair across the board.
Should profits be split evenly between all three partners or should I be receiving 50% as creator of the newer brand and the rest 30/20? Also with the DBA the studio will operate under that and the LLC being the brand that is currently more profitable. Our studio will act as a service for the brand and whatever work that passes through relative will be executed by it. I have a meeting tomorrow with my partners and just want to get this squared away and have a better idea before I start the LLC/DBA on paper. All help greatly appreciated.
New to the forums and really dig the post. I needed some first hand experience and thought this was the place to ask. I have a business that I started a while back that is starting to come into fruition. I currently run a lifestyle and apparel brand and design studio. The design studio started in 2008 but was never legalized. My newer company (lifestyle apparel brand/goods) is kicking off great. Now I want to operate them under the same umbrella as they are parallel industries and can service each other. This is what I want to do and with my partners I currently work with. Please let me know what your thoughts are and if I'm doing this right.
Since my newer company is generating more of a customer base I want to place that into an LLC with the design studio being the DBA. My long time partner of the design studio started doing more independent work and the studio is still available and in service however not generating much of an income. I'm trying to figure out the best way to split profits for this LLC for the members included. Since I created the newer brand I was thinking of doing a 50/30/20 split between the members as a whole. The individual receiving the 30% would be my long time partner since we started our design studio together in 2008. He also helped me in coming up with the name for my new brand. However, my partner receiving the 20% has been a long time friend for almost 10 years now and we've worked together in the past on an old startup he did that fell through. He's great and invested in my current brand. My partners are smart individuals and I just want to make sure everything is fair across the board.
Should profits be split evenly between all three partners or should I be receiving 50% as creator of the newer brand and the rest 30/20? Also with the DBA the studio will operate under that and the LLC being the brand that is currently more profitable. Our studio will act as a service for the brand and whatever work that passes through relative will be executed by it. I have a meeting tomorrow with my partners and just want to get this squared away and have a better idea before I start the LLC/DBA on paper. All help greatly appreciated.