Business Partnership Breakup Letter
BUSINESS PARTNERSHIP BREAKUP LETTER
[YOUR NAME]
[YOUR COMPANY NAME]
[YOUR COMPANY ADDRESS]
[YOUR COMPANY EMAIL]
November 5, 2050
Dexter Dicken
Richmond, CA 94801
Subject: Business Partnership Breakup Due to Financial Disputes
Dear Dexter,
I hope this letter finds you well. I am writing to formally address the financial disagreements that have arisen between us as partners in [YOUR COMPANY NAME]. After careful consideration, I believe it is in our best interests to dissolve our partnership effective November 30, 2050.
Reasons for Dissolution
The primary reasons for this decision include:
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Ongoing Financial Disputes: Specific disagreements related to:
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Profit distribution: We have not agreed on how to split the profits from recent projects.
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Expense allocation: There are discrepancies in how we have accounted for shared expenses, particularly for the recent marketing campaign.
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Unresolved debts: The outstanding loan of $10,000 taken for equipment purchase has yet to be addressed.
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Lack of Alignment: Differences in financial strategies and objectives have hindered our ability to work collaboratively.
Financial Responsibilities
To ensure a clear understanding of our financial responsibilities upon dissolution, I propose the following:
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Outstanding Debts:
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Each partner will be responsible for their share of outstanding debts.
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Dexter, you will assume responsibility for the $5,000 credit card debt incurred for advertising expenses, while I will take on the $10,000 loan for equipment.
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Asset Distribution:
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Business assets will be divided as follows:
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The office furniture will be sold, and the proceeds divided equally.
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The marketing software subscriptions will be canceled, and any remaining credits will be divided.
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The computer equipment will remain with me as I have been the primary user.
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Final Accounting:
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A final accounting of all financial transactions will be completed by December 15, 2050.
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This will include all income and expenses up until the dissolution date.
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Tax Responsibilities:
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Both partners will need to consult with a tax advisor to ensure proper filing of any taxes related to the partnership up to the dissolution date.
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Next Steps
I believe it is essential for us to document this process formally. I suggest we meet to discuss the details of this breakup and finalize our agreement on the aforementioned financial responsibilities. Please let me know your availability for a meeting by November 10, 2050.
I appreciate the time we have spent working together and wish you the best in your future endeavors.
Sincerely,
[YOUR NAME]
Co-Owner
