Would there be any issues with an overseas technical partner?


I have a developer from overseas I have been using for several months, we have a good relationship. I am thinking of bringing him on as the technical partner. Do you think there would be any issues in the long run, say with trying to get investors or trying to sell the company if my technical partner was in another country? (Philippines)

Your advice would be much appreciated.

Development Partnerships

asked Nov 11 '10 at 00:33
70 points

4 Answers


If the current arrangement with your developer works fine now, why are you planning on changing the dynamics?

Partnerships are probably the most difficult business entity to run and develop issues quite early in existence. If something happens in your partner's personal life and he becomes unavailable, what would you do?

answered Nov 11 '10 at 02:14
1,698 points


If you are looking to sell the business or raise money in the US it is quite possible that having an overseas partner will make it more difficult to find an investor. It is important for the majority of VCs that their partner is able to be there in person.

Also if you are currently paying this person a salary, then who do you need to change the arrangement? Great you can offer some equity to make sure that they are motivated to stay long term, but why make them a business partner?

answered Feb 22 '13 at 12:56
Rob Rawson
101 points


From what you have written it appears you are more concerned about making appearances if this person was a technical partner, rather than any technical issues.

There is a really good question Should I add people before looking for funding with several good answers that talks about the need to have extra people on your team when making appearances.

Other than that it sounds like you already have a good relationship. You need to decide exactly what you are looking for in a partner and if it is important for someone to show up when you are making your pitch or for some other appearances.

If everything is running smoothly now and this person is worthy of being your partner, then you need to decide if this is the only reason holding you back and if it is a worthwhile reason.

answered Nov 11 '10 at 13:22
1,257 points


One key aspect for any business in the US is that if you want to go the route of an S-Corp, all the shareholders must be US citizens or resident aliens. I believe with an LLC that restriction goes away, but with any international partner you'll have to remember that you'll be subject to the laws of your native country and those of your partner.

answered Jul 8 '12 at 01:14
397 points
  • Are you sure it's citizens not residents? – Dnbrv 11 years ago
  • Thanks for pointing that out - my mistake. I just corrected my answer. – Theonlylos 11 years ago

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