A group project turns into a real business, need some advice.
I’m at a point of indecisiveness and was wondering what you guys might think about my situation.
I am an Oregon State University student and I (and my group) just won the Marketing Business Competition for our University. This means our company will become a reality in the coming months through the help of the university, investors and partners. My situation is that I was assigned random group partners for this assignment and everyone just wanted and easy ‘A’ in the class so I came up with the idea, designed the product, and did all the financial research, and thoroughly studied our industry. With my group doing little work and not spending much time on this and letting me do most of it, it’s hard for me to see why they should profit from my work.
Now that we’re going to launch as a company soon, I don’t think it is fair that each of us (5 group members total including myself) would get a 20% share given it was my idea, and I put forth all the work. An easy ‘A’ is one thing, but getting a royalty the rest of your life because they got lucky to be in my group is another. I don’t think since they dragged their feet they deserve a handsome salary the rest of their life due to my hard work.
Is there any legal means I can take to claim my fair share of equity, or even the entire business as mine alone? So that way my slacking group mates don’t get free pay checks?
Not sure if this is a common thing, among new businesses, but would like some input on my situation and what I should do. Thanks!
Hi, Noah – thank you so much for your question! If you and your groupmates have already drafted and signed incorporating documents, there isn’t much to be done. However, it sounds like you are in the process of formalizing the business structure and, therefore, your relationship with the other members of your group/company. If you have not yet finalized incorporating documents or other relevant documentation, this is the time to voice your concerns and make your preferences known. Contact the university’s innovation and business outreach division or the Marketing Business Competition administrator to find out how and when the new business will be formalized.
Best of luck,