If you are interested in starting a business with at least two other partners, then one of the first recommendations I make is to first draft an engagement letter, and secondly to draft a written agreement.
Having these two documents on record with all parties’ signatures is a very important step for any kind of business undertaking and relationship, and should not be overlooked.
Taking this step will also ensure not only that each partner’s interests are protected, but also to help avoid business disputes down the road.
The engagement letter and written agreement are often drafted by legal counsel. Furthermore, each party should be represented by his or her own legal counsel to ensure their rights and interests are protected prior to signing.
Each partner should also go over the written agreements to make sure they understand what is involved in the new partnership, what this means for them and their investments, and what this means for their futures.
Not having an engagement letter or written agreement established between the partners is often a common mistake that many startup businesses make, but is also a mistake that can be easily avoided.
However, working with an experienced contract and agreements attorney to draft these agreements is also one of the easiest ways to avoid a dispute down the road.
To learn more about my recommendations for starting a business with more than one partner, watch this quick video here.
Speak with an Experienced Contract and Agreements Attorney
For further questions about starting your own partnership, you can also contact the Law Office of Todd M. Kurland today to schedule your free initial consultation and case evaluation.
It’s free to talk to me, so call today at 561-876-4907.