Posted by: hk | 2009-10-08

profit share

I was employed in a family business for a bout 3 years. When I joined, I was promised a 20% share of the profits for every year. The profits would be paid monthly in arrears. At the end of the second financial year, the audited profit amount owed to me was given by the accountant. After being paid for about 4 months, my employer told me that he does not agrre with the figures given to me. In fact he said there was no profit for that year and the previous years and that there will not be any profit share in the future. Accordingly, on paper, I am owed about R150 odd k for the 1st year. The second and third year I dont even know the story except for what I was told. Unfortunately, nothing was put in writing and I dont even have a contract. The only document I have is the aforementioned breakdown from the accountant. This however only relates to the first year. I know that there was profits made in year 2 and 3 based on the sales we did, even though things got quiet.
I think its a ploy to get rid of me.
Please advise on law and options.

Not what you were looking for? Try searching again, or ask your own question
Our expert says:
Expert ImageLabour lawyer


It is suggested that you obtain the advice of a Commercial lawyer. You are certainly entitled to the profit share if you can prove that infact the agreement is in place.

The information provided does not constitute a diagnosis of your condition. You should consult a medical practitioner or other appropriate health care professional for a physical exmanication, diagnosis and formal advice. Health24 and the expert accept no responsibility or liability for any damage or personal harm you may suffer resulting from making use of this content.

Have your say

Thanks for commenting! Your comment will appear on the site shortly.
Thanks for commenting! Your comment will appear on the site shortly.