I Was Given The Family Business and I Don't Want It! 

yes!!! i agree.

Exactly

Wow. Good call. I'm not a 'real estate' professional but I am a student of human nature. I believe, like you, that the poor woman's brother has 'dipped' into the value of the business and he's either ashamed or afraid to share that info because he's probably 'forged' her signature somewhere along the way. She's probably hearing her husband go on about her needing to "sort this s**t out with your brother" but he's not willing to get involved. So she's stuck between a rock (her brother) and a soft place (her husband). Look, she's called into the show because she's at a loss regarding what action to take. It's taken a decade and this is the furthest she's taken things. 'Option Two', getting her brother to buy her out is no-brainer. I suggest she date and write the following... "Brother mine, I love you. You say I don't trust you when I ask for information due to me. Well actions speak louder than words and your actions are shouting from the rooftops that you don't love me, that's blatantly obvious. This deeply saddens me. So I've made a decision I should have made some time ago and my actions over the next seven days will be dependent on your Yes or No answer to my following question... 'When we inevitably enter the courthouse to compel you to buy me out, ALL financial details of the business will be revealed (by law), so my question to you is this. 'Would court-driven investigations into the business reveal you've done something that could put you in jail - Yes or No?' - If no, then come and talk with me, I forgive you in advance for any mistakes you've made regarding the business. If your answer is yes, then get a lawyer and face the music, as I can no longer bear the unreasonable stress you've inflicted upon me, my husband and the kids." She's welcome to create a variation of this note,or leave it as is, just send something to change the status quo because her brother won't. Good luck, lady.

Truth. I worked in a camp office a few summers. I worked hard to get their charity Navigator score up. CFO said they were working on certifications but never finished. Turns out he was using camp money to fund his house.

He is gutting it so she doesn't get anything if it is dissolved as it has no assets and he keeps the money. Scumbag and I agree an audit can prove damages she can sue for

I bet there is more money involved. They have bank accounts and other assets to make this business work…

Dividends are not required by law, but shareholders should get some sort of payout at the end of the year if the company is in the green. Unless the owner decides to put retained earning back into the company, which is doubtful for ten plus years in business.

Exactly for 10 years that plus interest

Problem is her brother is pocketing all the money that's what it sounds like to me. Because if this real estate was bought from their Grandma it was probably bought 10 20 years ago so the values of increased along with rents at very minimum she should be receiving a check every month for at least $500

@@mike7933 Dividends are not required, but reports are. As a CPA, I'd be all over this like stink on sh*t!

That’s the one thing I don’t get. There’s 7 of them and no one else has approached the brother?

Outrageous and wrong esp since the homes are paid off!!

This may not be the full story. I guess we can only take her for her word.

All the other cousins 🤐🤐🤐🤐🤐

Yesterday.

🤣 our education system is in free fall

I lost it in laughter at that moment.

Sounds about right.

As a teacher, I cringed when she said that.

@@sweetfayce18 Most of us realize that her level of naivety does not extend to all teachers.

🤣🤣🤣

😅🤣

spot on, neither one of them have a spine

It’s not the husband’s role to destroy the relationship between his wife and her brother…. Over some found money

@@garret8787 it's not found money it's money from the wife's part of the family business. the brother needs to be in jail for theft & as far as the relationship goes the brother has already done an excellent job at destroying it.

But she’s been persistent in asking. She will step up.

@@makeitpay8241 No it’s not found money. It’s her inheritance. If David gave his grandchild half a million dollars and someone kept them from it would he be so okay about it? If he gave his son keys to eight cars with the intent he distribute the keys to other family members would he be okay with his daughter not getting her key? If he gave Rachel the keys to the family’s supply room with the intent she distribute the stock to herself, his son, and his nephews and nieces would he be fine with her withholding from those he intended to provide some security for? I don’t understand his attitude. The woman has a right and perhaps an obligation to protect what was meant to benefit and provide financial security for herself and her own family.

she is a door mat so she will continue to do nothing

Right. "she" might owe the IRS

Amen to that 👏🏽👏🏽

As a 40 year CPA, I say you are right on the money.

Why is religion important, it has no part in business.

It’s an indicator of values. Which matters. In business

@@MsMak03 no it is not. Your fellow Christian could be the biggest sinner there is and your neighbour Atheist/Muslim/Jew/Hindu/.. could be the most trustworthy person around.

If she doesn’t WANT the business, then she SHOULD give it to someone who WILL continue the family business! And I say this as a guy who STARTED a family biz.

Also, you’re acting like she deserves 50% of the profits, but she’s not actually putting any effort into running it. If it was a passive income type of business, like owning a McDonald’s, that would be one thing. But a real estate business requires somebody to do all of the work themselves. So if they’re not doing any of the work, then they don’t really deserve to make much money from the business.

@@charlesg7926 , It's an inheritance, she deserves her fair share even if she go's back to what it was worth 10 years ago and collects 1/7 of that.

​@@charlesg7926I agree. But if she isn't going to be contributing to the business then the brother still has to buy her out of it and give her share to her. She does after all have an inheritance in it because of the grandmother.

And after you ask politely a few times, you have your lawyer express and uphold her legal rights.

You sell it and put it all in dividend stock s

I doubt there is 500k. She walked away from 50k 10 years ago. The brother has probably been using this as a big piggy bank.

Fraudulent Deceitfulness

Exactly and it completely disrespects her grandmother’s intentions, it was her plan for her money.

She's not honoring or respecting herself if she lets her brother get away with it.

It will take at least two years but forensic accountants can cost as much as 40k… That’s not including the cost of your lawyer

families are horrible....generally

The cause of the problem rests squarely on the shoulders of the brother. He seems to be a bully with ethical lapses.

He probably has a gambling, or a drug problem. She needs to get a lawyer and get her money from this business including past dividends with accrued interest and everything else that goes with it.

Dave never met *this* boomer!

You're right. The whole "you might lose your brother" thing is crazy because if he's been cutting her out of the money for 10 years then the brother was already lost to begin with. I'd lawyer up and get the cut. The guy clearly has no morals and doesn't care about his own family. He will only give it up if he is forced to.

Why should she “see any money” if she’s not even putting any effort, time, WORK or knowledge into the business? That makes no sense.

He's probably taking an income for himself out of it and the rest of the partners doesn't know anything

@@webfreakz, that's what I think too. I bet he hates that she's poking around and asking questions.

I was just going to say the same. Unless it's a C corp, which I doubt, she certainly must have been receiving a K1 each year for her share of the annual activity. Find out who prepares the return and get a copy of the return. She's an owner, she can get copies if she wants.

Probably an example of why to not _give_ people things rather than have them work for it.

@@someonethirsty1957 I agree, that too.

Perhaps it just illuminates character traits and fractures within the family that were already present. Ideally, you should be able to trust your family MORE that outside partnerships. How sad is that?

Years ago, my father and his two brothers inherited the family business. My father immediately asked to be bought out and walked away. A few years later, both this brothers were so in debt one of them had a breakdown and the other lost his home. It was a valuable lesson to me and my siblings.

@@modiste He’s a genius.

Yeah...with 2nd graders.

She received no income.

@@kirpdeb that she knows of it could be being reinvested into an account that she knows nothing about that. Somebody else has access to.

I would hold a family meeting without the brother. Women have always been easy to exploit because they typically value relationships and family over money. They tend to be more passive and peace at any price. There is NO WAY SHE SHOULD walk away from this “found money” That suggestion was disrespectful for her grandmother’s wishes and this woman’s long term financial wellbeing. It also reinforces these stereotypes about women and money and REWARDS THE BULLY!

Oh man Ive heard some wild stories about management companies.

@@jeanlaubenthal698 I know many with rentals that use them for around 14% of rent.

Oooooweeeee!!!You can say that again!!

She seems like the entitled one here. She doesn’t want to do an ounce of work for the business because she think she’s “too good for” but she wants to be paid half of the profits? She’s insane and so are you

Or have a second set of books that make things look legit.

How do you plan to do that, as a matter of interest?

It’s not actually assertiveness that’s the problem. It’s the lack of understanding how to negotiate. Assertiveness is actually negative during a negotiation.

@@colmwhateveryoulike3240 Bullies gonna bully.

I'm 28, same here lol

It could have worked: the properties could have generated a profit to be distributed. Of course, the moment it became clear that this wasn't happening, the stakeholders should have stepped in and taken action.

@@fnordiumendures138 a small business with as many as 7+ equal owners, who didn't create or join the business based on their own initiative, had no chance of working well in the long run.

Forensic Accountant

Well, in this case it was kind of warranted. The core issue is that she can't think, act or communicate. Dave sensed that and put it on display.

Have some respect for stupid people?

I see your point, he's blunt indeed. Keep in mind though, he's running a radio show here. Nobody wants to listen to her explaining her story at a snail's pace, with "uhh" and "Uhm" sprinkled throughout the rambling. Gotta get to the point or people tune out, understandably so.

@@mikehawk9099 very true

It doesn’t matter she’s an owner of the properties. That fool needs to pay her off. He’s probably pocketed hundreds of thousands in cashflow over the years n stole it all for himself

@@theowlofwisdom it DOES matter! if she’s an owner, but not pulling her weight then he can sue her for breach of ownership/breach of contract

@@charlesg7926 The man just needs to take out a mortgage n pay her out. would be best for everyone

Quite possibly no one has paid taxes. There might not be much income now, if brother has spent/leveraged everything. Brother is “running” the business but not providing and financial information. . .for at least 10 years. Crazy to think grandma who built the business (or inherited it from her husband), her children (who were aware of the value of the company and the transfer grandma made) and 6 grandchildren have put their heads in the sand/looked the other way for a decade while one grandson has “managed” the business w/o ANY accountability to his extended family and business “partners?” What could possibly go wrong?