What do I need to do if I am the majority owner of a restaurant and want to buy my partner out?

He feels that the business is worth twice as much as it really is even though I have shown him what it’s worth. Can I force him to take an amount that is reasonable?

Asked on November 26, 2013 under Business Law, Wisconsin

Answers:

MD, Member, California Bar / FreeAdvice Contributing Attorney

Answered 7 years ago | Contributor

You cannot force him to be bought out. You can each get someone to appraise the buisness goodwill and balances sheet (assets and liabilities). Or you can both agree to a neutral third-party to appraise the business as a whole. If he still doesn't wish to the amount, you may wind up as business partners for a little while longer. You can also consider agreeing to pay him a small stipend monthly and this way he has a steady income until such time you both agree to the sale.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.