This question might sound dumb, but I'm at a complete loss of what to do.
My friend and I discussed starting a web site business years ago. For about a year and a half, we met every other weekend for a couple hours and brainstormed ideas of how to run this potential business. After the inital period, communications became more and more sparse. I e-mailed constantly, but he didn't respond. After almost a year of no response, I started to ask about exit strategies. He send back and e-mail saying that he would like to keep his shares in this fledgling non-company, but no longer wants to put any time or effort in it.
Here the things that were done:
- The website design is in complete design infancy (which I do not have the code for).
- I was responsible for the business plan and it was about 5% complete.
- We came up with some unique ideas of how we could make our website different and had some potential USPs.
- We did decide on a name and rent out the domain name (which has probably no longer been upkept) which he paid for (~ $8/year).
Here are the facts:
- The business was never registered or incorporated.
- No formal partnership agreement, but a verbal one that loosely stated that we would split the equity 50/50. I discussed a vesting schedule, but we never solidified those agreements.
- Other than the domain rental, no money was ever put into the website.
I'm still interested in this business, but I'm not going to do all the work and split my profits with someone who is no longer part of it. Can I continue on with this project and assume he gives up his shares or just drop the venture completely? I plan to find a new name and domain, but I would like to use some of the ideas we discussed.
Any answers are completely appreciated.