Employment Lawyers Can Answer Your Employment Law Questions
Hello, hopefully I can help. Would you be able to give details of what the issues are.
What rights you are looking for specifically find out about. Do you own equal shares of the company and are you both in agreement about dissolving the company?
Ok, thank you. If the company is making money in your absence, as a director you are still entitled to your share of any such profits, so long as there is no clause in your partnership agreement stating otherwise this should be relatively simple to sort out as you will have share allocations which determine how profits and dividends are to be split. In terms of sick pay and redundancy, this will depend on how you operate the business. If you are running a limited company and you are classed as an employee of said company then you will be entitled to (at a minimum) Statutory Sick Pay, you may be entitled to additional contractual sick pay if you are an employee agreement stating this, if not then you are still entitled to the statutory minimum. In terms of redundancy, any such payments would be paid out from the company profits, therefore you can just take this as your dividend instead of looking at it as redundancy payment. It may be advisable to speak with your accountant to see what is most tax efficient for you. In terms of tools and assets, on the assumption that these were purchased with company funds, then again you would be entitled to your percentage of these or the equivalent monitory value if your partner wishes to keep the items for themselves personally. Some of the above may be subject to variation depending on what is set out in your partnership agreement. Please also remember that you will be entitled to any money back you have paid into the company from your personal funds as a director's loan. This is usually tax free however, I would strongly advise speaking with your accountant to ensure everything is done legally.
Has this answered your query?
Sorry for the delay. Is the company a limited company?
As it is a limited company, any debts owed are at the liability of the company itself. Outstanding debts will require to be paid with the company's money. If there are insufficient funds and a liquidator becomes involved then they can offset debt with the value of any assets owned by the company (depending on the value obtained for each asset). However, to answer your question, you would not be held personally liable for any debts owned by the company. Has this answered your query for you?
Thank you. Ensure that you look over your partnership agreement also. If you have further concerns after your meeting, or there is dispute you may require to enlist help from a local solicitor. I hope this matter has a positive outcome for you.
You are more than welcome
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