Hussain Raza Kazmi 24067
Term Sheet for "Blank Space" Partnership Firm
Parties:
•
Srank Finatra
•
Deline Cion
•
Saylor Twift
•
Gelena Somez
Introduction:
This agreement lays out the main terms and conditions of a proposed partnership among Gelena
Somez, Saylor Twift, Srank Finatra, and Deline Cion for the creation and management of a
music therapy clinic to be called "Blank Space."Business:
The partners will work together to run a music therapy facility that provides both individuals and
groups with wellness services and nonjudgmental therapy. The clinic will primarily use music as
a therapeutic tool, with additional treatments offered dependent on partner expertise and market
demand.
Term:
The partnership will be established for a five-year period, with the possibility to extend by
mutual consent. Financial Contributions:
• Each partner will contribute equally to the early start-up expenditures such as rent, office fees,
basic furnishings, and musical instruments not brought by the partners themselves.
• The partners will provide their own laptop computers as well as any additional furniture
required for personal comfort and productivity.
• The conference fund will be used primarily for office equipment, furnishings, and initial
running expenditures, with the possibility to seek more financing if necessary.
Partner Roles and Responsibilities:
•
Srank Finatra:
•
Owing to his wealth of experience, Srank will be in charge of overseeing the clinic's daily
operations, including hiring, scheduling, and finances.
•
He will get his portion of the profits plus a monthly management charge.
•
Saylor Twift:
o
o
•
Saylor will support marketing and business development initiatives by utilizing
her network and market recognition to produce client leads.
She will be paid a commission for each client she introduces.
Deline Cion and Gelena Somez:
o
o
Deline and Gelena will be in charge of giving direct client therapy services and
taking part in any extra services the clinic provides.
A portion of the clinic's earnings will be given to them, deducted for the number
of hours worked and their specific area of competence. Elena will additionally
receive a fixed monthly fee for providing extra support to the other partners.
Decision-Making:
o
o
Every partner will have one vote on every decision; • The partners will work
together to reach consensus on all significant issues that affect the firm.
If negotiations come to a standstill, a third party mediator will be brought in to
help find a solution.
Dispute Resolution:
o
o
The partners have acknowledged their worries about potential conflicts in the
management of Blank Space and have decided to take a number of measures to
resolve them.
The partners concur that straightforward voting ought to be the first method of
resolving disputes. They concur that in situations when two or more partners
cannot agree, they should vote among themselves, with the majority emerging
victorious in the dispute and having the last say over the contentious issue. Voting
is done in order to speed up decision-making and maintain the smooth operation
of the company. Each of the four partners, or their proxy, may cast one vote, and
each partner may cast one vote.
Buyout Provisions:
o
o
The surviving partners will have the first right of refusal to buy the departing
partner's interest.
Any partner who wishes to leave the partnership may sell their interest to the
remaining partners at a fair market value assessed by an impartial appraiser.
Confidentiality:
o
Every partner undertakes to maintain the confidentiality of all information
pertaining to the partnership's business, including internal communications,
financial data, and customer data.
Dissolution:
o
The assets and liabilities of the partnership will be divided among the partners in
accordance with their capital contributions and profit-sharing agreements upon
dissolution, which can happen at any time by mutual agreement of all partners or
in response to specific events like a partner's death or disability, bankruptcy, or
extended inactivity.
Next Steps:
o
The purpose of this term sheet is to provide as a starting point for more
conversation and negotiation between the parties. An attorney will create a formal
legal partnership agreement once the partners have come to a final agreement.
Profit Sharing:
o
o
The profit-sharing ratio has not been precisely determined by the partners, who
plan to discuss it more over the meetings. To determine their role in the
partnership and Blank Space, they have created a table of responsibilities.
Before settling on a certain profit-sharing percentage, the partners also hope to
confer with the investor.
Partner Roles:
Partner
Roles
Srank Finatra
Recognize general business operations
Put operational strategies and procedures into action.
Control money and spending
Observe legal and regulatory requirements
Deline Cion
Obtain credentials and licenses.
Saylor Twift
Create and put into action marketing and branding initiatives.
Defend intellectual property.
Gelena Somez
Determine and investigate prospective avenues for growth.
Interact with stakeholders and the community
Offer coordination and operational support.
Oversee human resources, including employment and recruiting