I own a family oriented website on the internet. There are 3 others who work on the website with me as well. They pay me $100. Per month that will pay towards the server and fees that come around for what is needed. The 4 of us work and build on the site and have agreed to split any commissions we make from affiliate marketing or if an advertiser is going to publish an ad. I have spoken to my accountant and they will take care of the 1099 and send out to the 3 that work with me building the site.
How do we draw up a contract stating I am sole owner and I do not want to give them the freedom to make any decisions in regards to any aspect of the business? They need to come to me as the owner. We are NOT partners in ownership. We are partners in split commissions.
If I decide to sell the business I am willing to split the gains 4 ways after all bills have been paid in full.
I look forward to hearing from you.
1 Answer from Attorneys
you need to consult with an attorney many organizations are organized as partnerships, corporations, LLC etc or if one person is in business can be sole propreitor. If you are the sole owner you should set up your business as one of those entities. You should have employment contracts with the other three as independent contractors. Perhaps having limitations such as no compete or prohibitions of using any confidential information obtained in working for you.