My Partner Is Trying To Scam Me Out of Our Business

Steven calls into The Ramsey Show grappling with a dissolving 50/50 landscaping partnership. His friend, who recruited him from Ohio to a new area, now wants to end the collaboration without compensation, claiming the project-based business—profitable with steady growth and cash flow—is worth nothing beyond its assets. Steven seeks advice on leveraging their operating agreement to resolve the stalemate cleanly.

Partnership Setup and Dispute

The business has no outside buyers likely, given its location-specific contracts built over three years. The partner aims to dissolve the LLC, take clients, and restart identically, avoiding any payout. Steven counters with goodwill value from profits. An informal valuation via an SBA lender friend, using tax returns, pegs the total worth at $775,000—making Steven's share $350,000–$360,000. The partner rejects this, refusing a formal appraisal (cost unspecified but payable from business funds per agreement). Current debt totals $120,000 on equipment loans, split 50/50, so both remain liable post-split unless addressed.