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How to know if the profit percentage is good in business partnership?

Someone offered me a partnership in a business. They will capitalize and finance the business while for me I will run it for them, 3 investors. They will give me 10% of the yearly profit, is this a good percentage?

Then as for me to survive on a daily basis, they will give me AED 5000/monthly and this amount will be deducted from the yearly profit, it's like an advance payment from the yearly profit. is this a good offer?

Hoping for some enlightenment.

Momentum Legal & Management Consultancy
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22 Apr 2021, 15:53

Hi,

Have a look at the annual balance sheet and the financial reports in order to know the average profit, and accordingly, your expected share.

What is the form of your management? Side agreement or employment contract?

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