Selling software, any good, affordable solicitor you can recommend?

[Lance]

There is certainly a 'magic' no. around 20%. The problem with 10% is that new shares get issued to the majority stakeholder diluting your %.

I've also seen people get conned when they think they have some part of a company only to find out they have 50% of the class B shares, which are unrelated to ownership or remuneration.

[Old Greg]

that's not legal advice though.
That's business advice.

Anything under 50% and you don't control the business.
Anything over 80% and the other party has even greater control. The details elude me but you might as well have nothing if less than 20%.

If it's your product you should be demanding 51% and no less.

Or you could own the product yourself and license it to the new company. You could potentially have clauses that say if he boots you out, or dilutes your shares, then license is revoked. For that you WILL need legal advice.

There is certainly a 'magic' no. around 20%. The problem with 10% is that new shares get issued to the majority stakeholder diluting your %.

[Lance]

This is exactly why I need legal advice

that's not legal advice though.
That's business advice.

Anything under 50% and you don't control the business.
Anything over 80% and the other party has even greater control. The details elude me but you might as well have nothing if less than 20%.

If it's your product you should be demanding 51% and no less.

Or you could own the product yourself and license it to the new company. You could potentially have clauses that say if he boots you out, or dilutes your shares, then license is revoked. For that you WILL need legal advice.

[Old Greg]

Got to be a good deal. Estate agents are an honest, dependable bunch :

I hope the app has original features.

[osterfelder]

And they with their 90% majority can then transfer the app on to their main business leaving you with nothing and you can't do anything to stop them.

This is exactly why I need legal advice

[ContractorScum]

Got to be a good deal. Estate agents are an honest, dependable bunch :

As with anyone with who has the word 'agent' in their job title

[SuperLooper]

We are setting up a limited company. I will own 10% shares of it. For a lump sum, I will then transfer the app to that Ltd.

And they with their 90% majority can then transfer the app on to their main business leaving you with nothing and you can't do anything to stop them.

[osterfelder]

When he says purchase the app you mean purchase the ownership of th app, IP and all so he can sell on?

Why not hire a marketing guy to get you a plan together and do sell it to all the other agents yourself?

The idea is that we will work together on extending this online service. They bring a lot of traffic to my website. I would just like to concentrate on technical side of the business while they will do promotion and get others to use it.

We are setting up a limited company. I will own 10% shares of it. For a lump sum, I will then transfer the app to that Ltd. Then, for any futher work on it, they will pay me normal hourly rate. Like I said, I'd love to continue expanding this service and they are bying this service as they want me to continue working on it too.

P.S. Thank you for an above recommendation, I will get in touch asap.

[northernladuk]

When he says purchase the app you mean purchase the ownership of th app, IP and all so he can sell on?

Why not hire a marketing guy to get you a plan together and do sell it to all the other agents yourself?

[GhostofTarbera]

I would go to Rodger Sinclair of egos (forgive his website) if it was me


Sent from my iPhone using Contractor UK Forum

[Lance]

Hello, I created a little online service for estate agents (I build different apps as hobby, outside my work hours).

I was recently approached by an estate agent, which would like to purchase this app from me. The idea is that we will set up a Ltd, of which I will own my share.

Anyways, their solicitor prepared an agreement and all the legal docs, however I would like someone to review this for me?

Do you know any affordable solicitor that deals with such cases?

Much appreciated

find a local solicitor, who you can meet face to face.
Decide if you trust them.
This will likely cost you a few thousand pounds. It will be money well spent.

If you can't afford a few thousand pounds get the estate agent to front up the cash for your own independent solicitor. If he won't then forget the deal and find another estate agent who will (if it's that good they'll be interested).

[northernladuk]

Come again?

Got to be a good deal. Estate agents are an honest, dependable bunch :

[jmo21]

The idea is that we will set up a Ltd, of which I will own my share

Come again?

[osterfelder]

Hello, I created a little online service for estate agents (I build different apps as hobby, outside my work hours).

I was recently approached by an estate agent, which would like to purchase this app from me. The idea is that we will set up a Ltd, of which I will own my share.

Anyways, their solicitor prepared an agreement and all the legal docs, however I would like someone to review this for me?

Do you know any affordable solicitor that deals with such cases?

Much appreciated