Not sure if you are saying that you don't want to hear any more about it. If so, apologies for continuing.
His exit was borderline criminal.
Since the company was founded (1976) there has been an agreement about how stock would be valued for exiting partners. Every single partner had been bought out using this formula, known to accountants as "book value." Under that agreement that guy had acquired more than 80% of the company, at that favorable price.
When he decided it was time for him to retire, he said "I want 2x book value." Yeah you don't have give me 2x Book, but if you don't I'll stay, continue to draw a huge salary, do no work, and expense everything in sight.
My (other) partner and I weighed quitting the company and taking all the business with us, leaving himh with nothing but sand slipping through his hands. The problem was that our biggest client had a contract with the company that could not be transferred to another company. So we'd be walking about from about 35% of our business.
It actually would have been fun to watch, because he'd be left with one huge piece of business and no employees, and no motivation to work. Ultimately we decided to pay, as his expenses and salary were more on a monthly basis than the buyout. In the end his kids got most of the money as he passed soon after he quit. (It was a 5 year payout).
snowbrains.com
