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S-corp.

three people own an s-corp all three are active in the company.cash flow is short can two of the owners fire the other as a active employee?


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Doubt it.

What incentive would the third owner have in having a salary cut?   They might see this as exclusion from their own profits and input into the corporation.

Hopefully, an agreement was made on how ownership/partnerships would be terminated previous to establishing the business.  Otherwise it might be best to hire a mediator.


Posted 8 months ago ( permalink )
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cant unless that guy did something bad (performance failure) or something of the likes. you can try and come up with an agreement between the 3 but i guess it can depend on the documents they have in writing (or lack of).

 

 


Posted 4 months ago ( permalink )
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