How do I get rid of a useless co-founder?

Diego Ferreira3h ago3 replies

Started my company 3 years ago and I'm doing most of the work

Partner of mine is hardly present and I'm paying him a salary. How can I politely tell him to leave? 

He owns shares and it's hard to get rid of him. I hate this because I'm doing so much and he's just a leech.

3 replies

fizza ali3h ago

A shareholder can't be asked to leave without following the rules in your agreement and the law.

  • Check the shareholders agreement for any buyout or exit clauses.
  • Talk to a lawyer about what options you have.
  • Offer to buy their shares at a fair price if that is possible.

Doing it properly protects the company you built.

You've obviously never been kicked out of your company before haven't you? lol

Laura Hansen3h ago

You have to deal with the shares before you can remove the co founder from the company because they give him rights to stay.

Check the agreement you made when starting to see what it says about leaving partners or buying shares.
Find someone who knows the law to help you with the next steps and make a plan.

You're not alone in this.

My advice is to speak to him diplomatically and find middle ground. He has to bring something to the table.

However going down the path of hostility is also not a good idea as it will lead to more complications in the long term. 

Listen more and find out his concerns. Most people who have lost their interest in the business will gladly leave.

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