During both normal and difficult economic times, businesses are faced with many financial, organizational and personality challenges. Although the federal, state and city governments provide resources for individuals and businesses over the short term, business owners must attempt to work together to make important and strategic decisions to maintain the success of their enterprise. In many instances, owners and operators experience business disputes, disagreement, opposition and eventual breakdown in communications related to operations, revenues and expenses. Here are some options available to business owners in times of crisis which may help with dispute resolution:
- Discuss voluntarily reassigning certain operational tasks such as accounting, banking, contracts, labor, sales, etc. to other members;
- Request voluntary relinquishment of control of certain operations;
- Request buy-sell agreement to transfer ownership interests in company in exchange for consideration and obtain a business appraisal;
- If buy-sell is not an option, consider voluntary relinquishment of ownership in company and negotiate a walk away in exchange for indemnity and other concessions;
- If buy-out is not an option, consider threatening involuntary termination of ownership interests through court action or arbitration;
- If buy-out is not an option, consider court ordered sale or dissolution of the company; and
- Consider business or personal bankruptcy.
At Villasenor Law Offices, we can assist to provide good legal consultation and help navigate through these business disputes. We can refer you to good bankruptcy counsel, if necessary.
Call us today at 858-707-7771 for a free 30 minute consultation regarding your specific business dispute.