Advice on Selling my 50% Shares in a Limited Business

[Lydern]

Hi,
I currently have a Limited Business in Malta. It's been operating for the last four years. We are a popular store that can be focused on becoming a distributor around Malta. However, we have stumbled on a disagreement, and I had to move back to the UK.
The other 50% shareholder is my brother; however, we've not been in best terms with together as both have different interests over the business. The company has been doing well over the years and people are still talking about it till this day. It is an Extreme Sports shop that focuses on sales, sponsorship and possibly events in the near future. Its only been recently that it hasn't been going so well and I believe that a new line of investor will boost it even more.
I was hoping if someone would spare their time in helping me direct myself in possibly selling my shares to anyone who is interested in moving to Malta and occupying a business that's already in place. Mainly I am interested in my shares however if someone wishes to buy the whole 100%, then we will be willing to.
I have tried selling my shares over to my brother but he is resisting and wishing only to liquidate the company. I feel he knows that I am not going back to Malta and by liquidating the company, he can easily start a new company and take over the brands. Is there any way someone could please help me with this issue. I will answer anything that is needed.
Thank you for taking your time to read this.

 

[Mr D]

Hi,
I currently have a Limited Business in Malta. It's been operating for the last four years. We are a popular store that can be focused on becoming a distributor around Malta. However, we have stumbled on a disagreement, and I had to move back to the UK.
The other 50% shareholder is my brother; however, we've not been in best terms with together as both have different interests over the business. The company has been doing well over the years and people are still talking about it till this day. It is an Extreme Sports shop that focuses on sales, sponsorship and possibly events in the near future. Its only been recently that it hasn't been going so well and I believe that a new line of investor will boost it even more.
I was hoping if someone would spare their time in helping me direct myself in possibly selling my shares to anyone who is interested in moving to Malta and occupying a business that's already in place. Mainly I am interested in my shares however if someone wishes to buy the whole 100%, then we will be willing to.
I have tried selling my shares over to my brother but he is resisting and wishing only to liquidate the company. I feel he knows that I am not going back to Malta and by liquidating the company, he can easily start a new company and take over the brands. Is there any way someone could please help me with this issue. I will answer anything that is needed.
Thank you for taking your time to read this.

Buying 50 percent share of a business that's not been going so well recently?

May be a tough one. The trouble there besides not going so well is its 50 percent.

May find it easier to sell 100 percent cheaply - or maybe just the assets.

Or liquidating the company may indeed be the way forwards.

 

[Lydern]

Buying 50 percent share of a business that's not been going so well recently?

May be a tough one. The trouble there besides not going so well is its 50 percent.

May find it easier to sell 100 percent cheaply - or maybe just the assets.

Or liquidating the company may indeed be the way forwards.

Hi, thanks for your reply.
I understand it looks bad when someone says that sales haven't been reaching the level it used to. It's only because we have held on from restocking that is affecting the sales. Regardless I understand what it looks like.
If someone who is willing to invest in the company, they will have the customers by their side, also sponsorship for riders would be crucial. We are already the only leading Extreme sports shop there in Malta and the sports keep growing.
Do you have an idea how I could reach out worldwide, maybe a website who you might know that I can advertise the business for sale? I wish to find anyone where ever they are.
Thank you for replying.

 

[Clinton]

I was hoping if someone would spare their time in helping me direct myself in possibly selling my shares to anyone who is interested in moving to Malta and occupying a business that's already in place.

You probably won't find anyone.

Smart people don't buy 50% of a business. Especially a business that's in another country.

Your only hope is if the business is generating a huge amount of profit and has a high net asset value. The larger the profit level the more it makes sense for someone to move themselves and their family and to make this investment.

What are your net profit and net asset figures? (Note: If both owners haven't taken a fair market wage then you need to deduct that figure from whatever net profit you declared. You'll then arrive at the real net profit)

 

[ChrisCallaghan]

Agree with what has already been said. Even if you find a willing investor you need to speak to a solicitor. In the UK, unlike say a public company quoted on a stock market where shares are freely transferable, with private limited companies there are often restrictions on transfer of shares - so if Maltese law is similar your brother may be able to block any sale. Without trying to state the obvious, like a divorce if you can find a way of working together you will both benefit.

 

[The Byre]

You probably won't find anyone.

I disagree with this statement completely!

You stand no chance of selling. Not a cat-in-hell's chance - zip, zero, nothing, nichts.

No sane person will buy a small company that has been the subject of some internal fallout and is now failing as a result.

Of course, that leads the field wide open for the profoundly insane with too much money, but want to move to Malta and are prepared to risk having your brother open another company in direct competition . . . if you can find such a person who has yet to be committed and has not yet been declared mentally incompetent and had a guardian appointed, then by all means crack on!