Pros and cons of starting a company with a friend

At first, I felt that it was an ideal state Someone cheers up, encourages you to get twice the result with half the effort, is not afraid of difficulties, someone holds you up, not very optimistic about this kind of cooperation, basically a successful enterprise does not exist, there are two CEOs, everyone has a little strength, it is recommended to break up.

The early stage of entrepreneurship is better, and if you work together, you can't talk about standardization; When the development reaches a certain level, the increase of departments and personnel, and the number of levels, there will often be differences in decision-making and management, conflicts in responsibilities and rights, and at the same time, there may be differences in their ways of doing things, and the contradictions will be highlighted, affecting the stability and development of the company.

When malpractices appear, the focus is often on the property rights structure, so it is necessary to take precautions, and to a certain extent, it is necessary to carry out the reform of the shareholding system, change the system of partnership companies into joint-stock companies, and clarify the distribution of property rights and the division of duties and powers.

One. Good friends also have to settle accounts.

As the saying goes, brothers settle accounts, but in my opinion, not only brothers, but also good friends should settle accounts. When it comes to money, everyone is pure good brothers, good buddies, but once it comes to financial issues, you must calculate the accounts clearly and not be sloppy.

Two. Don't let cooperation affect each other's feelings.

There are so many things that affect the relationship because of being together in a partnership or running a company together. It's not that you don't advocate partnering with friends, you do open a company with your good friends, there is enough tacit understanding between two people, and everyone will be very dedicated when doing things, which is an effect that strangers don't have, making money is important, if in the end because of making money affects the feelings between each other, do you think this is a gain or a loss?

Three. Before starting a company, make everything clear.

Friends can work together, but be sure to make things clear before starting a salary, such as how much money each needs to invest, and what is the proportion of shares you and your friend have in the company? If it is profitable, how should the two of them pay dividends? If you lose money, how much will each person bear?

These must be decided before registering the company, discussed well, and written clearly in black and white, which will reduce a lot of trouble in the future.

Many people will choose to start a company with friends, but this will also usher in a lot of problems, but as long as you deal with it, it will not cause too many problems. Next, I will talk about some relevant precautions, I hope to give you some help to avoid affecting the relationship between friends.

Brothers should also settle accounts, and friends should also divide shares according to their respective investment ratios when they start a company together, after all, this matter involving money should be properly handled. Don't let the relationship between friends be affected, once you decide to start a company together, then you should follow the normal process.

If you start a company with a friend, you should clearly distinguish between work and life, so that you can better distinguish your identity. Don't talk about personal things at work, and you shouldn't talk about work things in private, so as to ensure that your feelings are not affected. Friends are for life, don't affect each other's feelings because they work together, so be sure to handle the relationship well.

After all, it is a partnership between friends, and everyone is a person who owns shares, so when it comes to major decisions, they should discuss together, and they must not make arbitrary decisions alone. Everyone is a person who has the right to decide, and it can't be decided by just one person, but it must be discussed at the beginning, so that a good result can be obtained.

In fact, in my opinion, it is better for friends not to start a company together, but when it really comes to this point, they should be business-oriented and not mixed with any personal feelings. Once a problem occurs, it should also be discussed well and not blamed on the other party, which not only affects the relationship between friends, but also is not conducive to the company's decision-making.

It is necessary to pay attention to writing some beneficial things into terms, to clarify the contribution of all aspects, to pay attention to the location of the company, to pay attention to the company's operation, and to pay attention to some trust issues.

Regarding the issue of distribution, as well as the invested funds, the final income, dividends, and assets, we all need to pay attention to them, and there will be some contradictions in the later stage.

It is necessary to pay attention to the distribution of property, the way of partnership, the determination of proportions, the distribution of funds, and the formulation of corresponding rules, these are all things that need to be paid attention to.

We must be careful not to involve disputes over interests, and at the same time, we should not always care about money issues, nor should we be irresponsible, nor should we let our friends deal with follow-up problems for themselves.

There are 3 steps to starting a company with a friend. For example: 1. Determine the proportion of capital contribution by the company's partners.

Only when the proportion of capital contribution is clearly defined and simplified, it is convenient to divide responsibilities in the event of disputes and debts, so as not to cause conflicts; 2. Determine the rights and obligations of partners. Only when the rights and obligations of all parties are determined can the operation of the company be guaranteed; 3. Qualification review of partners. It mainly includes the character, ability, family situation, assets of the partners, whether there are large external debts, etc.

Legal basis. Legal Enterprise Law of the People's Republic of China.

Article 14 The establishment of a partnership enterprise shall meet the following conditions:

1) There are more than two partners. Where a partner is a natural person, he or she shall have full capacity for civil conduct.

2) Have a written partnership agreement;

3) Capital contributions subscribed or actually paid by partners;

4) Have the name of the partnership and the place of production and operation;

5) Laws and administrative regulations.

Other conditions as specified.

It should be noted that: 1. Determine the proportion of capital contribution by the company's partners. Only when the proportion of capital contribution is clearly defined can it be convenient to divide responsibilities in the event of disputes and debts, so as to avoid conflicts.

2. Determine the rights and obligations of partners. Only when the rights and obligations of all parties are determined, can the operation of the company be guaranteed. 3. Qualification review of partners.

It mainly includes the character, ability, family situation, assets of the partner, whether there are large external debts, etc.

It's best not to start a company with friends.

The precautions for opening a company in partnership are: 1. Distinguish the specific investment ratio; 2. The financial department must find an independent person to carry out financial work; 3. There should be strict regulations to limit the rights of both parties and standardize the tasks of both parties; 4. There must be a written partnership agreement; 5. Capital contributions subscribed or actually paid by partners; 6. Have the name of the partnership and the place of production and operation.

To establish a partnership enterprise, the following conditions shall be met: (1) There are two or more partners. Where a partner is a natural person, he or she shall have full capacity for civil conduct. 2) Have a written partnership agreement; 3) Capital contributions subscribed or actually paid by partners; 4) Have the name of the partnership and the place of production and operation; (5) Other conditions provided for by laws and administrative regulations.

1. The partners must sign a valid partnership agreement and agree on their respective rights and obligations to avoid mutual disputes between shareholders.

2. No matter how many partners, try to avoid the same capital contribution ratio, such as two partners, do not talk about 50% of each partner's capital contribution, so that in the future business process, it is easy to have a deadlock in the company, and the company will not be able to operate.

3. The rights and obligations between the partners who participate in the operation of the company and the partners who do not participate in the operation of the company shall be clearly agreed in advance. Because the contribution ratio of shareholders who participate in operation and management is not the same, those who contribute capital only receive dividends, and those who contribute both capital and effort not only have dividends but also wages.

4. In the partnership agreement, it is best to agree in advance on the way and process of shareholder withdrawal.

5. In the partnership agreement, it is best to clarify in advance how to dilute the shares if a new partner enters the company.

Legal basis: Article 14 of the Partnership Enterprise Law of the People's Republic of China The following conditions shall be met for the establishment of a partnership enterprise: (1) There are more than two partners.

Where a partner is a natural person, he or she shall have full capacity for civil conduct. 2) Have a written partnership agreement; 3) Capital contributions subscribed or actually paid by partners; 4) Have the name of the partnership and the place of production and operation; (5) Other conditions provided for by laws and administrative regulations.

In addition to following the general principles of contract formation, the following relevant matters should also be paid attention to when entering into a partnership contract: (1) The subject qualification of the partners must be legal. (2) The form of the partnership contract must be in writing.

3) The partnership shall not be named with the words "limited" or "limited responsibility" in the contract of co-dressing and gangster. (4) The partnership contract shall be established only by the consensus of all partners.

Article 469 of the Civil Code provides that when a party concludes a contract, it may be in written form, oral form, or other forms in which the cover is missing.

Benefit distribution! Don't think that good brothers don't care about money, countless people are breaking up because of money!

Minded! If the goals are not consistent, it will definitely not work, and it will not be done!

Trust! This is the most important point of division of labor and cooperation in the future!

Equity setting is this rule, and we need to use the rules to avoid these dangers and prevent them from happening.

The equity system seems to be divided into two levels: 1. the founder team; 2. Options. For any company with lofty ideals, it should be designed from the very beginning, and it should be formulated and determined.

Because the equity system is essentially a mathematical problem, that is, at different stages, how much is the value of the shares in your hands, and whether this can support you to persist in the hard work and devote yourself to the company.

1. Equity is the largest for start-up companies, that is, he wants more shares, more right to speak, and more responsibilities, so more than 50% equity is very appropriate!

If you can solve it with money, don't use shares, shares should be given to the most important people, and the brothers who rowed together on the boat should have enough power, of course, if you want to get off the boat halfway, you need to design some rules when designing equity, which can be very simple, convenient, low-cost and loss-free repurchase. For example, the co-founder says that he will not play, and he wants to follow my heart to do something more interesting, etc., or the investors and co-founders think that the core founder is incompetent and cause losses or slow down to kill him, etc., which requires some simple general arrangements, such as 0 yuan transfer if it is not full, etc., or be a silent shareholder.

2. Options. The difference between shares and options is that shares are shareholders' rights that are actually in hand. Options are expected equity and expected equity. It is the right to purchase a certain share of the company in the future by agreeing on ** now.

However, for the above-mentioned ones, if there is no capital investment, it is not recommended to give equity, but should be an incentive for options.

3. The value of the shares in the future.

When Alibaba went public, the 30 partners held a total of 14% of Alibaba's shares, and Jack Ma only had 8% of the shares. Valued at more than $21 billion. And in 1999, even if you own 100% of Alibaba's shares, it is worth 500,000.

This huge increase in value does not come from the investment of 500,000 yuan, but from the efforts of the first 18 arhats to the later 30 partners. Wealth needs to be accumulated with sweat and time, not simply investing some money and quietly waiting to go down the mountain to pick peaches Qi Liang.

What a company needs is the right partner, the person who walks with the company, must have a strong growth potential, and people will make the company successful, rather than the company dragging people.