Quoted:
I have not done public, but I have bought and sold S corp shares and LLC memberships. That is actually pretty simple paperwork, the hard part is dealing with your fellow owners. It really is a financial marriage for the long term. The first thing you have to have and be prepared to live with is a buy sell agreement written by a good lawyer. The next thing to be prepared for is differences in opinion on how things should be.
I talked to a lawyer for about getting some investors a couple years ago and its not easy. Depending on how you find the investors, you fall under a bunch of securities exchange laws and it gets really complicated if you offer for sale outside your own state.
This is a case where you really have to find a good lawyer with experience in the subject in your state. Its not like asking whats the best AR, its complicated business based on your situation and state/federal laws.
Thank you!
I would prefer to simply bring on non-owner investors with a note at x% interest for a y year term, but potential investors may be more interested in going the partial ownership route. I'd really rather not deal with the headaches of partners with differing vision/ideas, but it may be the only way to go.
The out-of-state part isn't surprising but is damn depressing. One of the potential investors I'm considering is out of Texas and the stock would be issued in Wisconsin.
Mike