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W Texas | I was a partner in a business for awhile and it worked well for awhile. I gave a guy a golden opportunity, supplied the financing and professional expertise. He supplied the grunt work.
We were making a good go of it until he bought a bunch of toys: 3 dually pickups in three years, none of which he needed, rv, expensive corvette (100k+), trips to vegas, you name it. He was always asking me incredulously why I didn't buy a new truck "for the tax write off"?
As his debts mounted his attitude declined. He started asking me to buy him out. I did wind up buying him out, after firing him and his entire family, bankrupting him, etc., at about 1/4 of his initial offer. I did not enjoy the whole process but did not have the cash to pay him what his share of the company was worth (which was close to his initial offer) and was not willing to go into debt.
I was also a partner with a brother in a project. Same type of agreement. He was going to manage the business, but really just loafed around on my dime for three years. Was very disappointed, but kind of knew how it would end before we started. I could afford to lose the money and he is my brother. Will not go into business with family again. Ever.
Overall, I am very skeptical of partnerships. The likelihood of a misunderstanding increases exponentially with the complexity of the agreement and number of parties involved.
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Buying land: Kinda a weird question.
