Obviously I need to speak to a solicitor first but I thought I'd run it through here for some opinions.
I was a sole trader but last year one of my employess helped me out financially during a tight spot. He had been wanting to come in as a partner, so we agreed that his financial input gave him a share in the business.
Recently I sold the business to a larger competitor, nothing much has changed for us apart from me know being a director and shareholder. However, the other partner wants to be bought out but remain an employee.
We have agreed to do this but the fly in the ointment is the fact he is insisting on the interest on the money he put in, he used his credit card to buy a share of the old business.
Now cruel as it might seem I don't think he is entitled to that as that was his choice to pay that way.
I did'nt realise what a nightmare I was getting into with this guy, he only wanted to be recognised as a partner in good times and not the bad.
What he does'nt realise is that he would be in no place to barter if we pay him off and could lose his job if he kicks off.