Shares in small company like a business asset?

rand · Apprentice Joined: 20 May 2007 Posts: 5

Hello, folks! My name is Fred and I’m from Ohio. I’m running a small business and so far it was OK. A few years ago, I helped Tom, who was my high-school friend. I lent him some money, as it seems, when it was most important for him and he’s been incredibly grateful to me. Nowadays, he is a successful. So he offered to give me some shares of his small but prospective company. In fact, he’s running an excellent business so I hope that I won’t make a mistake if I take them. What do you think about this? Thanks

pepita · Apprentice Joined: 11 Sep 2005 Posts: 2

Hello, Fred! I think that it is great that you are going to be involved in such a thing for several reasons. First of all, this guy is obviously greatly indebted to you and, in my opinion, this is just he’s way to express his gratefulness. Secondly, if I were you, I would definitely accept them since one might never know what tomorrow brings. You were not precise about this but I guess that you are not going to buy them off- he has given them to you… So you might sell them or exchange them in a couple of years. This is definitely like a business asset which has big prospective…