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bad business parnters

STG

New member
Newbies
Joined
Oct 10, 2009
Messages
21
have any of you guys had seemingly good deals go wrong?
at the moment im building a house for myself through someone who was a mate of mine and hes using the money ive paid him for my house on his other projects, because he's fucked up somewhere and hasn't got any money to finish mine off. a timber company has an application to wind him up for trading while insolvent but no court date is set yet.
anyway i think at a guess im going to be out 50-80k here and im wondering if any of you guys have been fucked by a scumbag business partner and how did you get through it or get back at them? i guess im lucky i have a successful business and will make it back with other projects i have going on but its a set back for me because im only in my third year of business.
 
It's a little after the fact, but don't do business with friends - don't loan them money.

Feel free to give them as many gifts as you want -- but never expect anything in return.

No matter what your relationship is, business is business - make a contract, spell everything out - as much as possible outline timetables and benchmarks toward completion. Provide deterrents for slacking such a punitive awards and penalties.

Generally, the Statute of Frauds provides that any contract over $500 must be written. Hopefully you've done that. Get a lawyer. The case seems cut and dry, but it sounds like you need to get yourself in the same line as all his other creditors so you too can have a crack at his assets and be on the receiving end of any garnishments - so do it soon -- preferably before he files bankruptcy.

Don't worry about your *friendship* -- it sounds like he already pissed that away.

Good luck bro.

And if all else fails, kicking his ass might also do wonders for your mood.
 
Oh believe me kicking his ass would be at the top of my list of making me feel better but the pussy would press charges.

I've got everything in writing and ive made attempts to contact him in writing for completion dates and costs, just to make a paper trail more than anything because the spineless prick probably won't write back guess I learnt a valuable lesson even if it does cost me money
 
Don't ever work business with "friends". It's just something you don't want to get involved with. Anything you do that affliates money being in someone else's hands, but from yours, there should be a contract. Yes, it's a hassle, but things like this will NEVER happen.

If you want your money back you can go after him. Was it just a verbal agreement among this? And did you ever issue money from checking account to checking account with the memo deemed under specific instructions, yet they violated it?

Or was it straight up cash?
 

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