I am about to get into a technology related business with two other individuals that themselves are savvy entrepreneurs but only on FMCGs, Agriculture and Real Estate. They have made a billion and interested in investing 10-70 million to explore a different avenue. All was ok in the start when I had to deal with only one of them. When all of us came together to do the final discussion the one that joined later asked who will bear the loss if the project fails? Since I am the one in need of this as I have invested my time and sweat in making preparations beforehand so that we are well prepared before the first cent is spent. What rule applies to equity and profit sharing of this venture between all the stakeholders? The two individuals are JUST financing nothing more; all of it will be on my shoulders to safe guard the investment and guarantee the venture's success.
Business Venture Capital Equity Profit Share