I would valuate your share from a pure financial perspective. (this is how venture capital firms calculate.)
- Valuate the entire business
- discount the share price because you lose one founder
- split in half
(I assume 200k/year is net earning.)
Two methods: comparative , discounted cash flow
A. Comparative ---
How much does a similar company sells for in your area? Grab a copy of small business buy&sell magazine. If you have a pizza restaurant, I am pretty sure there are some ads in the local classifieds.
If could not find the same type of business, you can look at a business with $200k/year revenue.(I assume the working capital/profit margins/risks are in the same ball park).
B. discounted cash flow ---
This is like buying bonds(or fixed return mutual funds). How much would you pay for something that gives you 200k/year?
For government bonds, the formula is PV = C/r
PV: present value<br>
C: Coupon/ income each year<br>
r: annual interest rate/ required rate of return
Say I expect 20% rate of return, each year earning is 200k.
PV = 200k/0.2 = 1000k <----- this is your company's present value(risk discount is in 20%)
I assume both of you do the same amount of work. You leave, then the company lost 1/3 of its value.
1000k * 2/3 = 666.6k
split in half: 666.6k/2 = 333.3k
I hope this would give you some idea to start with. All the rates are purely hypothetical numbers depend on how a buyer looks at your business.