I started a graphic design company about 3 years ago. I have been working from home all this time. i cannot keep up with all the work i have been getting. I have asked two of my friends to help me in the business. both of them are going to be involve with some of the work, I will be doing most of the work. but both of them are investing up to 20 thousand each. I am not putting any money. i bring all my customers and everything that has been working for me for 3 years and they put the money to open the office and do some advertising. i have two kids and a stay home wife. My company gives me enough for my living expenses. Now i know that if i want to grow i have to bring investors and people to help me, but this means i have to split the income. in order to make at least half of my living expenses I have to get a salary, and they both will get IOUs. My question is how do i allocate ownership? do i treat them as founders, co-founders or investors? can I keep 51% ownership/voting rights and they get 24.5% each, but split the profits 40%, 30%, 30%.
Yes, you can.
Voting rights and profit distribution can differ from each other. Look at Facebook.
You may want to hire a lawyer.
I wouldn't rely on the collective wisdom of the Law & Order JDs here.