u/SelectMaintenance560

Hi everyone,

May ino-offer sa akin na small restaurant investment setup at gusto ko lang sana humingi ng advice kung valid ba concern ko o masyado lang akong nag-ooverthink.

Ganito yung setup:

• I provide the capital
• I receive a larger share until I recover my investment
• After ROI, I continue receiving a smaller percentage from profits

My biggest concern is what happens after ROI.

Na-realize ko kasi na technically puwedeng:

• magsara yung business,
• magpalit ng setup o pangalan,
• ilipat sa ibang entity,
• o tanggalin na lang yung investor sa arrangement.

Because of that, I’m thinking of adding a clause that says if they terminate the post-ROI arrangement early, they would have to pay a minimum guaranteed buyout amount based on several months of expected post-ROI earnings.

For people who’ve done small business or restaurant investments before:

• Is this kind of protection normal?
• How are post-ROI buyouts usually handled?
• What’s considered fair in practice?
• Are there better ways to structure this?

Would appreciate practical advice from people with actual experience dealing with partnerships/investors.

Thanks.