What Is Partnership?
A partnership is a form of business where two or more people share ownership (Profit/Loss), as well as the responsibility for managing the company and the income or losses the business generates. It can be generated on the stamp paper.
Why Choose Partnership?
A partnership, as opposed to a corporation, is fairly simple to establish and run. No forms need to be filed or formal agreements drafted (although it is advisable to write a partnership agreement in the event of future disagreements).
Advantages of Forming a Partnership
Simple operating structure
Acquisition of capital
Disadvantages of Forming a Partnership
Conflict with partners
Authority of partners
Vulnerability to death or departure
Limitations on transfer of ownership