Lawyers, Answer Questions  & Get Points Log In
Questions Answered by Jonathan Scott Savar
2 Answers | Asked in Business Formation and Business Law for Pennsylvania on
Q: Hey Guys,i own 10% of an LLC, while someone else owns 90%. If We bring a capital partner, where does he get his %?

Hey Guys, I am not sure the exact terms of this, but i own 10% of an LLC, while someone else owns 90%. We are talking about bringing in a capital partner somewhere in the 40% range. I was told that my shares will be diluted in the same according to my other partners. so of that 40% 4% would come... Read more »

Jonathan Scott Savar
Jonathan Scott Savar answered on May 23, 2019

The answer is that this type of scenario is normally the subject of negotiation among the parties and depends upon the facts and circumstances of the situation, unless the operating agreement specifies exactly what happens in the event both members bring on another member. For example, assuming... Read more »

View More Answers

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.