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:

• Ongoing Financial Disputes: Specific disagreements related to:

  • Profit distribution: We have not agreed on how to split the profits from recent projects.

  • Expense allocation: There are discrepancies in how we have accounted for shared expenses, particularly for the recent marketing campaign.

  • Unresolved debts: The outstanding loan of $10,000 taken for equipment purchase has yet to be addressed.

• 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:

1. Outstanding Debts:

   • Each partner will be responsible for their share of outstanding debts.

   • 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.

2. Asset Distribution:

   • Business assets will be divided as follows:

     • The office furniture will be sold, and the proceeds divided equally.

     • The marketing software subscriptions will be canceled, and any remaining credits will be divided.

     • The computer equipment will remain with me as I have been the primary user.

3. Final Accounting:

   • A final accounting of all financial transactions will be completed by December 15, 2050.

   • This will include all income and expenses up until the dissolution date.

4. Tax Responsibilities:

   • 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.

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

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