How does the profit sharing work among partners in a pvt ltd

Okay, I'm starting a new company and one of my friend wants to join me as a partner in this new venture. Im registering it as a private limited company.

Right now, the directors are my dad and myself. I'm keeping 99% share and dad as 1% share just to show on papers as 2 persons are atleast needed for private limited registration. 

So dad has no role in the company or whatever. It's all run by me. 

Now this friend wants to invest 20L and work as Chief Operations Officer, so he will look after all the company operations and the managers and then report me finally. 

I have decided to share 20% profit to him. So whatever profit happens in a month, 20% goes to him and 80% comes to me. 

Now the main question - 

1. How does the basic profit sharing work ? Is it like, calculating all expenses and everything at the end of the month and whatever final figure stays in the bank account, that is the profit and it gets shared transferred to the respective directors bank account ? 

Is that how it works ? 
For example, the company made 10L in a month. Total expenses including salary, purchases , office expenses, 5L gone. So rest 5L is in the bank account. 
So 80% of 5L, I transfer to my account and 20% to his account ? 

Is that so ? 

2. Let's say, there is some major expense required in the middle of the month, let's say purchase of equipments. And we don't have that kind of amount in the company bank account. So how do we contribute ? 

Let's say, 8L is required. And the bank account has 3L. 
So we take out 3L from the bank account and rest 5L, I contribute 80% and he contributes 20%? 
Is that how we should do it ? 


3. And shall I make him a director on papers and assign him 20% or it's okay to run without registering him as a director and simply sharing the 20% to him ? 

4. Let's say, some day I or him needs some money and we want to take it out from the company bank account. 
How will we do that and how is that calculated and adjusted in the end while sharing the month end profit ? 

5. Like I said, I'm making him Chief Operations and sharing 20% profit to him. What if someday, I find, he is not doing his job perfectly and only eating the 20% profit. Can I kick him out officially ?