SteveBizBlog

The Ugly Truth of Employee Ownership Without Capital Contributions

Equity Funding (Ownership/Stock) / Partnership, Business Ownership

Discover the Potential Pitfalls of Offering Employee Ownership Without Capital Contributions. Explore The Reasons Why Employee Ownership Is a Hot Topic, The Financial Risks and Responsibilities Employees May Face, Operational Skills and Mindset Challenges, Fairness Issues Among Shareholders, And the Complexities Involved When an Employee-Owner Leaves the Company.

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How to Pay a Non-Partner General Manager of Limited Partnership

Small Business Finances, Small Business Regulatory and Compliance Issues / General Partner, Limited Partnership, Partnership, Get Paid

In some cases, all the partners of a limited partnership may be investors only and not managers. The partnership may hire an outside general manager (employee) to make the day-to-day decisions, and therefore, acts as the manager. In this case, the general manager is an employee of the business, but since they are not a partner (aka owner), their income is just like that of an employee in any business.

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How to Get Paid in a Limited Partnership

Small Business Regulatory and Compliance Issues, Equity Funding (Ownership/Stock), Small Business Finances / Limited Liability, General Partner, Owner Draws, Limited Partnership, Partnership, Get Paid

How You Get Paid as A Non-Partner General Manager or As General Partner of a Limited Partnership Is Different. Here Is What You Need to Know

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How to Get Paid as a General Partner of Limited Partnership

Small Business Finances, Small Business Regulatory and Compliance Issues, Equity Funding (Ownership/Stock) / Get Paid, Limited Liability, General Partner, Limited Partnership, Partnership

A partner in a limited partnership that is a decision-maker (general partner) is considered an employee of the business by the IRS and is treated differently than limited partners. Income for general partners is considered earned income and is subject to additional taxes but also to additional potential tax deductions. Moreover, as a general partner, you are exposed to additional liabilities.

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