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Capital Contributions vs Loans

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Often times, business associates feel as if they do not need to have everything in writing. This is particularly true if they have gone into business with friends or relatives.

Unfortunately, it is impossible to predict which business arrangements are destined to break down. Businesses co-owned by friends or relatives are just as likely to run into problems as any other business. Not taking the steps to secure written financial details can have disastrous effects on the business as well as on the relationship between the partners.

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