What is the percentage of ownership that you should have of a new business?

[Ralphjoe]

The most important advisable percentage for an owner of a business or company should not be less than 60% so that you can really assume your ownership of the company as anything less than that will not cement an owner of a company's ownership.

 

[Ridorz]

What is better and good most is to have your capital and establish a business in which to have all the full profits and have a whole control on it, everyone wish so but some get the opportunity to be so. However, if I want to have a share in my business I will like to have at least 65-70% so that I will have strong legs to control it.

 

[BrolySSJ]

Well that depends on how much do you invest on building the business, if you are just on your own then you have the full share. if its partnership then you go 50-50 in order to have equal share each profit you gain. This might be change due to other factors that your business consist of such as if you all have insurance to take.

This is a matter of who is running the business however the topic that I created was referring to obtaining capital in order to create the business in the first place. So basically I was referring to potential investors that could come into the business that you are looking to venture into, and they could fund the business but of course the school be in exchange for shares or a specific level of responsibility in the business operations as well.

 

[Mika]

You can either have sole ownership or a partnership firm. In the case of a partnership firm, the best strategy is an equal partnership so that the partners have an equal position in the firm. When the partners have equal positions, they can have equal participation in decision making. The partnership is the best strategy for a new business because the loss is always minimized.

 

[Goodday]

Yes, l agree with the thread. For you the business man to still have greater say in the business, you should be able to afford like 51% and above just like the thread said in order to still maintain a greater say in your own organization.

 

[idhans]

When you start a new business, one of the hardest things to achieve in the beginning is the capital that you need to put into the business in order to get it off the ground. Generally when it comes to Capital you can be funded by one of three ways. The first way is to fund the business yourself. The second way is to take out a loan from the bank and then fund the business. And lastly you could possibly look at getting investors into the business. If you get investors into your business then you are essentially selling shares to your business, and they will have a specific amount of say in the operations of the business as well unless they are considered to be silent investors.

What do you think is a good percentage of shares that you should own in your own business and that you should sell out? I think that you should own at least 51% of your business if you are able to afford it because this will allow you to still be able to make decisions as to majority shareholder.

It's really important that you bring investors into your business especially if the business requires huge capital. But you have to be very sensitive in the sharing formula. If you don't have up to 51% of the company's shares you are likely to lose ownership of that business.

 

[Smithkid]

Yes absolutely true. For new business at start up you should try put your maximum portion. If you have too much money to invest for your business that you can put 100% then you should to do your solo business . If you can not manage to do so then atleast put more than 50% of capital. And we will see 100% of our profit back

 

[Kelvin7656]

The founders should end up with about 50% of the company, total. Each of the next five layers should end up with about 10% of the company, split equally among everyone in the layer. Example: Two founders start the company.

 

[Godleads1]

I would say at the start of a new business, you need to put in around 60-80% so as to avoid unnecessary disturbance if the business even when the business seems to still be struggling. With you have the highest percentage, you reduce unnecessary pestring of the business.

 

[chicnthin]

51% would be alright to have a percentage of ownership, just by yourself. Because if that percentage is divided, you won't be in control if a conflict arises. But more ownership would be ideal, I just said the 51% as an idea.

 

[Kamon c4]

The owner of the business must own more than half of his or her own business before selling off other shares. It’s most advisable to own at least 51% of the company shares. Also the other 49% should be divided within large number of investors so shares held by each will be low and minimal except its a partnership company. Partnership may or maybe half-half though

 

[Bart Simpson]

Of course, I am completely on point with you. In a situation where you have others support you to develop the company, it is not your business anymore. If you don't act, you will end up put back into rehab. There are many benefits of getting or controlling a big percentage of a company's shares, and this is just the advice you asked for. With this, it is certain that none of the investors will have up to 50 percent because that will mean having equal right and say and decision on the company. As an answer, it is safer to save a bit and have the required capital before starting out or starting a company.

 

[Alexandoy]

The 51% ownership is just to get the majority shares of the business. But for me, it is better to own at least 60% of the corporation that I will start up. However, that 60% can be divided among my trusted people like my wife who can get 20% and probably the 10% can be allocated for my sibling or siblings that in effect I will officially have 30% of the capital only. In a corporation it is the voting of the major stockholders that matter that is why incorporators are conscious of the majority shares.

 

[Ibrahim]

As for me 50% Is okay for ownership of a company because we don't know what might happen in future so it will be easier for the company to handle without problem or talkless of borrowing loan from banks

 

[Prettyjanie]

If it's a sole proprietorship, I think you should put in your all, However, if it's a partnership, then the more you put in, the more you get of course it still depends on the partnership agreement. The more money you invest in a good business, the more cash out you get.

 

[Tollytee]

The percentage of ownership I should have of a new business...well it is advisable to have a least 70% of your capital. Investors should not have more than 30% of your business that way it will easier for you to still run the business according to your initial plans.

 

[Robrown83]

As a business owner of a new business you just need to set little aside for your maintenance out of the profit you derive after you remove your capital. If your selling part of your business as a share to some people I will advice you to hold on to 60percent while sell 40percent so you can still have full power of the business.

 

[Greatguy1]

A controlling stake should be a percentage that cannot easily be bought. As soon as a business grows, it will seek the need for funding or expansion therefore the owner might be tempted to sell some part of a company in form of stake. When selling a stake one should care not to lose out the control of his business to the sharks out there. A controlling stake should be anything above 70% in my opinion.

Post automatically merged: Jan 31, 2021

A controlling stake should be a percentage that cannot easily be bought. As soon as a business grows, it will seek the need for funding or expansion therefore the owner might be tempted to sell some part of a company in form of stake. When selling a stake one should care not to lose out the control of his business to the sharks out there. A controlling stake should be anything above 70% in my opinion.

Post automatically merged: Jan 31, 2021

As a business owner of a new business you just need to set little aside for your maintenance out of the profit you derive after you remove your capital. If your selling part of your business as a share to some people I will advice you to hold on to 60percent while sell 40percent so you can still have full power of the business.

How would the owner cope when it's time for expansion or needs to get a very important machinery or it could be he wants to buy off another business and the funds needed cannot be raised by present business. What does he do? Selling a stake is not a bad thing. What is by the selling a controlling stake. That is how businesses in the world expands.

 

[Diamond07]

Ownership percentages are important because they determine what profits you’re entitled to from your business. They’re also important when you apply for a small business loan. Individuals who own at least 20% of the business must personally guarantee a business loan.

 

[mayreeh38]

I think it should be 70,30. So yours should be more higher and that is why I placed that figure there. You are 70 and the investor is 30. This will really give you an upper hand. It also mean the risk will be high for you too.