Home – New Forums Other discussions Regretting partnership – How to get out?

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    sletts02
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    A work colleague and I decided to start a business during a car ride. I’m now beginning to regret going in to partnership due to the imbalance of skills/offerings.

    I’ll be responsible for the website (ecommerce), design, marketing, etc.

    The crux is we have signed a partnership agreement but are yet to register domains, hosting, bank accounts, business name etc. Very minimal work has been done at this stage but I’m envisioning the disproportionate distribution of labour/skills/knowledge.

    Is the partnership now legally binding? What’s the best way to approach this situation?

    #1166964
    Past-Member
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    If you are regretting, then you need to stop it now, not later.
    Find out from your accountant or ASIC what you need to do to dissolve the partnership – then explain to your friend that you just don’t feel good about doing this at this point in time, and offer to pay him/her back all their legal fees so far.

    Paying the person back means that they have not lost anything, and, in my opinion, would be the right thing to do and would mean you don’t have any ties to that person.

    But definitely don’t go purchasing anything else when you are going to dissolve the partnership.

    All the best.

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