"Silent Partner" is a term commonly used to define a type of business partner who provides capital but does not participate in the company's management.
Silent partners share the profits and losses of the business, but the partner stays out of daily management. These types of investor are strictly in it for investment purposes, although they may still benefit the entrepreneur in ways beyond financial capital, as they may have industry connections and contacts.
Like any business relationship, it is important to know what the investor's ideals are, and both sides need to be on the same wave length when it comes to handling the overall account. Make sure things are in writing, putting agreements in contracts regardless of the situation. As is the case with all kinds of relationships, things can go awfully sour during bad times, so its best to make sure everything is covered from day one.
As a result, you may need to do some research on the investor, or hire an attorney of your own to make sure the agreement is fair.
Still, with all things considered, taking on a silent business partner can be a good way for businesses to generate capital without giving up control to the partner.
US$7,000,000 Req US$500,000 Min
Therapeutic Herbs, Teas, and Beans Co. is a company that will enter the medical marijuana business, by opening 15 new stores in the state of Pennsylvania.
US$500,000 Req US$50,000 Min
Curiyo is a SAAS product that generates new revenue for publishers and media properties while engaging users and keeping them around on the page longer.
US$450,000 Req US$100,000 Min
BSN Live is a digital sports network that is changing the way sports are covered and how sports news is distributed. We have a proven business model and great traction!
US$15,000 Req US$1,000 Min
Drone photography and regular photography. For events from weddings to commercials and ground surveys. And many other fields
US$250,000 Req US$100 Min
With more demand than we could ever satisfy, we will import Toyota Land Cruiser L79 Diesel Trucks - the most capable 4x4s ever made - to be sold in the USA for the first time.
US$2,500,000 Req US$30,000 Min
Allure plans to offer regularly scheduled flights to a wide variety of destinations in southern Florida, the Bahamas, the Caribbean, and Cuba.