Partnerships
Laws and legal information about partnerships
Partnership
A partnership is a type of business entity used by business owners to share in the day-to-day responsibilities and profits of a business. It is one of the simplest types of business formations. No formal state filing is required to form a partnership. However, some states require the partnership to register with the state. Generally, when one enters a business with another person, a partnership is formed. This is true whether or not there is an intention to form a partnership or whether a formal written agreement exists. The partners govern and manage the business equally regardless of their initial investments unless a written agreement states differently. Read more
Partnership Agreements
A partnership agreement is a written document that outlines how a partnership will be managed and each partner's rights and responsibilities. A written partnership agreement can minimize the frustrations of maintaining a partnership and provide guidance on key partnership issues. While the business the partnership undertakes may be very successful, partnership issues can cause an otherwise successful business to fail. Having a good partnership agreement is important to ensuring that the overall partnership succeeds. Key IssuesSeveral key issues should be addressed when creating a partnership agreement. Read more