FORTUNE Small Business:

Can I keep a big stake in my business?

Smart investors will make sure you have skin in the game, says FSB's experts.

By Rich Russakoff and Mary Goodman
Bottom Line Consultants, Richmond, Va.
October 31 2007: 9:54 AM EDT

(FSB Online) -- Dear FSB: If I want to maintain majority control and ownership of my startup - let's say 75% ownership - does that mean 75% of the total company investment should come from me? Or is the process of doling out shares more complex than that?

- Christopher Dunne, president, IEG Enterprises, Philadelphia

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Dear Christopher: As you correctly assume, it is more complex than that. Without the sweat equity you put in, nothing else matters.

Your time, expertise, creativity, and ideas all have value. If you will be devoting all of your energy to your venture's success, reasonable investors will want to reward you and make sure it is worth your while to stay involved. It is all negotiable.  Top of page

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Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer LIBOR Warning: Neither BBA Enterprises Limited, nor the BBA LIBOR Contributor Banks, nor Reuters, can be held liable for any irregularity or inaccuracy of BBA LIBOR. Disclaimer. Morningstar: © 2012 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2012 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2012. All rights reserved. Most stock quote data provided by BATS.
© 2012 Cable News Network. A Time Warner Company. All Rights Reserved. Terms under which this service is provided to you. Privacy Policy. Ad choices .