Is a business partner stealing from your company? Are you concerned about theft, embezzlement or commingling? How can you prove this and put a stop to it? What actions can you take? What impact will this have on the business and ownership interests?
What to Do When You Suspect Your Business Partner of Stealing From Your Company
There are unfortunately many ways in which a business partner, member, shareholder or co-owner in a company can skim money or assets and take advantage of other owners in the business. The Watkins Firm will help you to put a stop to it.
One of the most common challenges is the commingling of funds and assets. If a partner or co-owner is using company funds to pay for a vehicle that is titled in their personal name, or to pay credit cards or other personal debt they are, in effect, stealing from company. They are also risking the integrity of the corporate veil that protects you and other members or shareholders from being held personally liable for business debts and liabilities.
Putting a Stop to Internal Theft Within a Business
If you are concerned about a business partner and theft from your LLC or company you can’t simply accuse them of stealing or embezzlement. There are strategies we can help you to deploy that will identify theft, document it and provide the evidence necessary to take action. We will help you to organize and evaluate bank statements, company books and all financial activities associated with the partner or owner in question.
The Watkins Firm has more than 40 years of experience in these types of cases. We will manage the process of organizing evidence and then actually confront the behavior, saving you from the uncomfortable and potentially damaging task of confronting theft. Co-owners and partners who are stealing from your company or LLC are unfortunately often family members or close friends. The relationships are delicate, and you have decisions to make about how the process will be handled, and whether or not criminal charges are in order.
There is also the matter of their ownership interest. What becomes of this? How is it valued, and what actions can you take to move them out of the company?
These can be delicate matters and we invite you to review our podcast Episode 11 – Resolving Business Disputes as well as the strong recommendations of our clients and contact the Watkins Firm or call 858-535-1511 for a complimentary consultation today. In some cases these behaviors develop from a “run-and-gun” style of management and may not be nefarious or based upon criminal intention. They are still a risk to the viability of the company and your own personal liability, and we can help you to put a stop to it.
