Desire to dissolve partnership

Hi, i'd appreciate some advice.
I founded a company and a few weeks after everything was set up (suppliers, branding, website etc) i asked my friend if he wanted to join. He paid half what i put in and we split everything thus far but, i am the one driving the business forward and as i feel the relationship has broken down, i no longer want him part of the business. No contracts in place and we are non VAT registered.
We aren't making a profit as yet either.
I know i need firm legal advice but before i go down that route, can anyone share their similar experiences? As its not an LLP, does this make the process much harder?

 

Is it an ordinary partnership, ie not a limited company?

 

Yes that is correct.

 

If it is an ordinary partnership then you just have to say it is dissolved. Work out what your shares of the money in the business are and refund him his half.

 

Oh right ok, i see. The plan is that i continue with the business, may i ask, if they were to challenge and say they wanted the business, where do i stand? I don't think he would, but I'm covering all corners.

 

Once you serve notice of dissolution of the partnership then assets have to be sold, including the business, and a dissolution account sold. You strictly need his consent to continuing to run the company by buying the business off the partnership. Of course you could just d it without consent if he is unlikely to object and you are prepared pay into the partnership account a fair price for the business so he comes out with something.

 

What if i slightly change the business name, change domain, apply for a new trade mark etc could i then continue as a new business without his consent?

 

Then its a different business and ye you can do that,. But if you want to use any assets of the partnership ,including intellectual property assets , eg the website and files, then strictly you need this to be part of a dissolution agreement.