Joe and I each put in $10,000, and
we each own 50% of the Company. Essentially we have
divided The Discovery Café into two shares: I own one and Joe owns the other.
In putting together this business I am the entrepreneur. But I am not a rich Entrepreneur (not yet anyway). I have nothing that will induce a bank to lend me money, so I find a partner who is willing to bring money into the Discovery Café in return for a share of the profits.
I find such a person in Joe W. Partner.
Joe and I each put in $10,000, and
we each own 50% of the Company. Essentially we have
divided The Discovery Café into two shares: I own one and Joe owns the other.
The Discovery Café opens one sunny morning in May and business does so well that we make a profit the first year. (It's my fantasy so I can ignore the rule of thumb that warns every business to allow for at least two years before turning a profit.)