What
you know about partnership
Partnership is a mutual relationship
between two persons for some profit making activity. Individual, we call them
partners and jointly, we call them partnership. A partnership is a result of an
agreement between the social unites or human being for some economic goals. Any
partnership requires two or more persons which share their profit in a fix
ratio. May be this agreement is in a written or oral format.
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| What you know about partnership |
Main feature for partnership –
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Minimum two persons – In partnership, we require two
persons at a minimum as per law and maximum is 20. It will not be a partnership
if companies not follow the criteria.
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Agreement – every partnership have an
agreement. Without agreement there is no accountability. If some persons have a
relationship & doing work but they did not have a agreement, we not call it
agreement.
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Every
partnership has some activity/business which produces some economic gain. There is no
partnership for functions and charity
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Every
business/partnership has a mutual
benefit and all those efforts carry out by all partners and all economic gain divided into a fix ratio.
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High risk is involved in partnership and
partners will be responsible for interested and related party payments.
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Partnership
requires a high level of blind faith
on each others. Very actions should be taken for mutual benefit of the company.
