Owning A Company, But Under 18

[StavroulaG]

Hello,

I am 16 years old and am about to start a IT company with my father. However, my age seems to be causing problems. I cannot become a director because I am under 18 years old etc. I was just wondering is there anything I can be in the company to secure myself as a part of the business? Do you have to be over 18 to become a shareholder of the company? Oh and I live in Australia. Thank you, any responses would be much appreciated.

[Gene]

Hey!

Sorry about your dilemma. I face the same situation a lot of times, it's like you can't really do anything until you're at least 18.

I can't say that I know too much about incorporating laws in Australia. I know that in my state, a minor can open and become director of a corporation, which I think is really cool. Not all US states are like that.

But if I were you I would contact a lawyer, and ask him/her those exact same questions.

Let me know what you find out!

[SIMPLEROBB]

Hey!

Sorry about your dilemma. I face the same situation a lot of times, it's like you can't really do anything until you're at least 18.

I can't say that I know too much about incorporating laws in Australia. I know that in my state, a minor can open and become director of a corporation, which I think is really cool. Not all US states are like that.

But if I were you I would contact a lawyer, and ask him/her those exact same questions.

Let me know what you find out!

Which state is that?

[Moneymaka]

Why would you want to do that?
Just work on the business and give all ownership to your dad until you're 18.

I was planning to let a family member have my company under their name, but i still would control everything.

Unless you want the "image" of being a director?
Or is there something else that i'm missing??

[SIMPLEROBB]

Hello,

I am 16 years old and am about to start a IT company with my father. However, my age seems to be causing problems. I cannot become a director because I am under 18 years old etc. I was just wondering is there anything I can be in the company to secure myself as a part of the business? Do you have to be over 18 to become a shareholder of the company? Oh and I live in Australia. Thank you, any responses would be much appreciated.

Actually you don't have to be 18 to be a shareholder in a company.

[armenh]

Why would you want to do that?
Just work on the business and give all ownership to your dad until you're 18.

I would have to agree with you on that. We should stop complaining and whining all the time that we can't do this and that because we are under 18. Yes, maybe if you go out and meet a customer for your Dad's IT company they might suspect you are 18 or maybe younger, but as long as you provide them with ample information, satisfy their needs and offer a solution you shouldn't have any problems. As a director of your dad's company you should not be going out of the office to much, I would assume, so I don't think age should play that big of a factor. Anyway you have a PM.

[Gene]

Virginia. I was surprised to find that out. I believe it was FL I had checked too, and they had the standard "wait until 18".

Which state is that?

[BusinessAdviser]

Shareholder. That's the only thing that really matters anyway.

[mthomas]

In New York a minor cannot be a shareholder but can be a director. I agree with what moneymaka said, just let your dad "run" the business until you turn 18. That is exactly what I did when I started my first business as a minor, never caused any problems, nor did it get in the way of day to day business.

[SIMPLEROBB]

Virginia. I was surprised to find that out. I believe it was FL I had checked too, and they had the standard "wait until 18".

Ok Thanks G.

[tw0]

You could always move to the United Kingdom where you can legally be the director of a company.

[SIMPLEROBB]

You could always move to the United Kingdom where you can legally be the director of a company.

Yeah! That would work.

[Peter.j.bea]

have you father take the position as Founder CEO and You can take the title of Co founder COO. This is only in identity truly. What you do or do not do for a small business doesn't truly matter in definition.

Keep in mind, in ANY start up the first year or so people in any position or department wear many hats. You cant expect there to be to much definition to a person role in a company.

You and your father should discuss your salaries and the rest should go back into the businesses development. I would recommend acquiring assets with solid value (epuipment, stocks, real estate, etc.). The first couple of years in business you shouldn't be taking TO much off the top. be sure to look over the business plan with your father, develop a spreadsheet and look over the amount of growth you both may need to acquire certain personal "bonuses" for a little treat from all the hard work.

Your title will not matter in a family business, just what you job entails and your income of it.

Peter
Head of awesome pants
Founder

(this is an equally great position to have)