Buying out the other director

[Cliphead]

UPDATE - just in case anyone is interested. The Saga continues...although i'm less stressed about it now.

Still an ongoing battle. He's replied to my solicitors letter (which offered to take on the liabilities) stating that some units have sold, yep, all of around £150 worth. Still wants £4k for his shares.

I sent him a letter offering him £1K so I could just get on with it.

He replied saying an absolute complete load of bolloxs about customers we have caused "professional embarasment" and that I should expect a phone call from them (this is his mate by the way that we were going to make a customised product for - and funily enough sell at such a small margin it was practically not worth doing).

So now, the rent has bounced, there is no money in the business account to pay it. I am having to deal with the landlord, I am being open with them. I have asked them to transfer the lease to a new company - they declined at present.

I have moved all of my kit out and left anything paid out of the business account in the premises. Which was a complete BAST@RD of a day and the cost of a wagon plus help - in the form of a few beers. It's hard work moving 4' x 6' dia tanks .

And the best bit. Went over the business statements last week and noticed a DD setup which i'd overlooked but seeing as their was no activity on the account it stood out. Guess what, I've a DD to BCW group (debt collection agency) which has been coming out since march. On top of the personal shopping bills he paid in the early part of the year.

So, I decided to let the company get into trouble, why throw good money after bad. We are "jointly and individually" personnally liable for the lease, which I am happy to pay especially if they let me transfer it to "new co". Well, it'll be me they come after anyhow. The lease is the only thing he has on me now....he can't produce the product.....he can shove the initial packaging designs (for which he claims ownership).....they were good, but no chance in hell i'll be using any of the work that he has even come close to (he dealt with the artist/ designer). Just got to wait for the nasty letters from HMRC to come.

And the better news is i've just had my first direct contract invoice paid.

Thanks for all the good advice so far by the way.

Always interested, looking forward to a satisfactory conclusion. This is one story worth a blog somewhere I think.

[jmo21]

I just keep coming back to what you stated in the first couple of posts, you wanted to help a down on his luck mate, and you gave him a 50% share, when he only put in 5% capital.

Just a massive mistake.

Hope you get the clean break, good luck!

[Scrag Meister]

What a nightmare.

Hope it all sorts itself out sooner rather than later.