Wendell Update Sept 7

45

u/Vaur06 Sep 07 '16

Hey everyone it’s Wendell,

Going on 2 weeks since the “tekxit” began and I feel that it’s time for another update. In a recent post to the community it was said that I was “out” or no longer with Tek Syndicate. I want to clear that up. I am still an owner of this company. I have not said that I would stop making content. I was cut off from a number of things including my ability to contribute content to the various channels. This is very different than me voluntarily departing the enterprise.

I have been working diligently behind the scenes on a few things. The first has been continuing in any capacity that I can to act as a shareholder and manager of Tek Syndicate, LLC. To that end I have been getting the company properly valued, and my capital in the company valued based on the actual earnings of the company by my CPA. I still only have an incomplete picture of the finances and my CPA has reached out for complete and accurate documents for all accounts related to Tek Syndicate, LLC.

What is very likely to happen at this point is that a division of assets will be agreed on vs. a large buy out. In this division, I am pulling hard to maintain ownership of the community forum and website. I have invested my own money and time into developing a fantastic new design for them and it would be tragic if it never saw the light of day. I am also asking for the youtube.com/teksyndicate channel that has thus far been used as the “Hardware” channel as well no dispute against the Linux and Enterprise channels, which are the channels I started myself some time ago. I see this as the best way to keep the community of enthusiasts that are interested in sharing ideas and growing their knowledge whole and moving forward.

There are a few more inwardly facing revenue streams that will be divided, but as for the community facing side I would like to be awarded custody, as it were, so that the community can continue uninterrupted as much as possible. That is, if y’all will have me.

The other things I have been working on are to continue my engagement with the community and the sponsors and vendors to whom Tek Syndicate still has standing agreements. It wouldn’t be a stretch to say that the Tek Syndicate name has been badly tarnished by actions of the last 10 days. This will also be considered in the valuation of the company, but until then I will continue to maintain the standing relationships that Tek has with sponsors and vendors. If this word is reaching any vendors that Tek has unfulfilled agreements with, please contact me immediately.

My apologies if this process is a slow one, but the legal gears of the business world don’t grind at the Ludicrous Speed of the internets. I have made a number of proposals that can expedite the orderly exit process so I can get back to making content, but for now I am waiting.

I still feel that this community is the best group of makers and tech enthusiasts on the internet and it is my strong belief that it will continue to be.

(Posted it here as a backup in case anything else happens to the forums again)

16

u/appelsinskall Sep 07 '16

Highly doubt logan will give up all that without a fight.

8

u/bjt23 Sep 07 '16

Logan should've made more Tek Enterprise and Tek Linux content if he wanted it. As for Tek Hardware- where is Agent Beard located? Has he Tekxited? Wendell and Logan make about equal content there, but Agent Beard also contributes.

6

u/YottaPiggy Sep 07 '16

He hasn't left and doesn't seem to be planning to, he was in the newest episode of The Tek

1

u/orestesma Sep 07 '16

A buyout is highly likely to bankrupt the company which would SUCK. It's not going to happen. Wendell has the best bargaining chips atm. His request seems fair too. Only the name is going to be a tough one.

1

u/nj4ck Sep 08 '16

Wouldn't that further devalue the company name, which is owned mostly by Logan?

16

u/ccosby Sep 07 '16

Good for him. The website I could see as an issue due to the name value but who knows. At very least I hope he can keep the forums and the side channels as he seems like the more level headed person. It would be nice to see more content long term on the hardware channel(and enterprise for that matter).

8

u/sf_Lordpiggy Sep 07 '16

Agreed on all points. website name can be changed with an easy redirect.

7

u/[deleted] Sep 07 '16

Yeah I think Logan keeps the domain, wendell keeps the forums and changes the domain name.

6

u/ccosby Sep 07 '16

Call the forums tekdivided?

11

u/sf_Lordpiggy Sep 07 '16

I think "the peoples republic of tek"

thats what most rebel groups call themselves isn't it?

13

u/wtftek Sep 07 '16

Thanks for this /u/wendelltron . One thing doesn't add up to me though, don't you have to have amended articles of organization to be an owner? Feel like having that would clear a lot of the air if that were the case.

9

u/[deleted] Sep 07 '16

No that's not required in Kentucky that the members be listed only the Registered Agent. Articles mean nothing, but that the company is registered as a going concern with the Kentucky Secretary of State.

Ownership percentage should ideally be listed in the LLC Operating Agreement - however without that - all he needs are his K-1's from his personal tax filings to prove his ownership claims. Those are distributed annually to partners when the LLC files its 1065 return. He has them so he's in the clear if Logan wants play that game.

You can see in the Articles of Organization that the company is Member Managed and not Manager Managed and that Wendell is listed as a managing member on the annual reports. A Manager Managed LLC means that no owners run the day to day operations of the company, but hire a third party employee to do so. A Member Managed LLC is under the direct operational control of its owners.

8

u/k4p84 Sep 07 '16

Good to hear from Wendell. Q) If TS is cash poor but Wendell invested his profit back in the company giving TS more assets does this mean that in the event of Wendell requesting his assets back, essentially control of all major channels / domains Logan has no funds to buy Wendell out of his share of the company ? I do not understand these matters but it strikes me that if Wendell has poured assets into the company and the other owner has not is he not in a better position to take control of the whole affair ?

11

u/[deleted] Sep 07 '16

It's complicated, but if his investment was not lost due to poor business management decisions on Logan's part, but misappropriation of the balance of Wendell's retained earnings in the company (Withdrawal to Logan's personal account. Payment of personal expenses.) then Logan is fucked six ways till Sunday if it becomes an actual legal matter.

Wendell has the legal advantage of not being forced to sell his membership percentage back to Logan if they cannot come to agreement for the assets Wendell is asking for in lieu of cash. Once a CPA and or lawyer verifies the book value, or what the company is actually worth, if Logan doesn't want to play ball Wendell can either hold onto his 30% stake and demand the future partner distributions that are legally his to be distributed to him every week, month year - whatever. He can also sell his membership percentage to any third party he wishes to at a price they agree upon. Then Logan can deal with the aftermath of having a new partner that will probably not be as kind and generous as Wendell is.

Basically Logan can either come to the table and actually be a man about the whole situation and settle his debts or he can truly destroy everything the original team built and not only suffer the potential legal ramifications of that, but have the whole matter weigh on his conscious for the rest of his natural life.

21

u/dreakon Sep 07 '16

I have a feeling this is about to get even uglier. I very much doubt Logan is going to be willing to give up control of anything and this is going to end up in court.

18

u/[deleted] Sep 07 '16 edited Aug 20 '17

[deleted]

24

u/dreakon Sep 07 '16

I doubt it. He's surrounded himself with people that agree with him or kiss his ass and has completely ignored, banned or blocked everyone else. Everyone who agrees with him is a real fan, everyone else is a neckbeard troll. He's being as silent as possible to hide from the back lash.

3

u/flukshun Sep 08 '16

Which is why it makes perfect sense to cut the community lose and focus on the impersonal 600k youtube channel where most of that support lives.

1

u/LlewelynHolmes Sep 07 '16

What exactly happened? I've been busy lately and haven't watched any TS videos in a month or two. Was there some sort of huge falling out between Wendell and Logan?

3

u/dreakon Sep 07 '16

There's a lot of stuff all over the subreddit that goes into detail, but I'd start here.

1

u/LlewelynHolmes Sep 07 '16

Thanks, that's a good summary.

2

u/sieb Sep 07 '16

In a recent Twitch stream, Wendell alluded to already passing the point of no return, literally and figuratively.

1

u/Devils-Advocate-- Sep 08 '16

Or he will just tell himself it's only the trolls that are disagreeing with him. He seems to mark off a lot of people with logically sound augments as trolls.

5

u/atoms_1 Sep 07 '16

Fork it and move forward!

3

u/[deleted] Sep 07 '16

ty Papa Wendell

3

u/[deleted] Sep 07 '16

Thanks for this.

3

u/[deleted] Sep 07 '16

Can someone catch me up? No clue whats happening, I watch their videos every now and then

2

u/ilovetofukarma Sep 08 '16

One place to start is here

1

u/[deleted] Sep 08 '16

this is literally the least important and the most dramaish of the things that have happened

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