1
vote
2answers
183 views

Could dividends in a limited company be paid out selectively?

Could a limited company decide to pay dividends only to certain individuals, e.g., those who hold 50% or more of the outstanding shares? If not, do dividends have to be paid out proportionately to all ...
1
vote
2answers
167 views

Dividends are higher than profits?

I'm looking at the S-1 filing of Shutterstock: http://www.sec.gov/Archives/edgar/data/1549346/000104746912005905/a2209364zs-1.htm It says that $20.5mil, $25.9mil and $28.6mil of dividends were paid ...
0
votes
2answers
226 views

Profit and loss sharing among three co-founders

I'm participating in some business funding and recently we've faced a severe problem. The question is quite simple: how do we share profit, so that no one would be left behind? So, there's three ...
3
votes
2answers
307 views

How to share profit based on both effort and skill?

Suppose the following: You have a very small startup (a few people) with almost no startup capital You have a client or two and are making some money, but not enough to afford real salaries Each ...
6
votes
1answer
278 views

When does the profit-sharing model break down?

Two co-founders and I have started a project that is going rather well. We sell a service that is paid on a monthly basis but that also has some up-front costs (revenues for us). Thus far we have ...
1
vote
2answers
731 views

How should the profits be shared?

Imagine a scenario where two people set up a business. They contribute 50-50 in terms of investment. They split profit between them. Over time, only one of the partner now works for the business. How ...
2
votes
2answers
397 views

Trying to determine the profit split for a business plan

I am working on a business plan that I will be pitching to someone very specific. Due to the fact that they are a very large name in their industry (and many others for that matter), the business ...