Partnership Agreements

Partnership Agreements

A partnership agreement is a contract between partners in a partnership which sets out the terms and conditions of the relationship between the partners, including: Percentages of ownership and distribution of profits and losses. Description of management powers and duties of each partner.

A well-made partnership agreement will include:

  • Percentage of ownership for each partner;
  • Allocation of profits and losses;
  • Who can bind the partnership;
  • Making decisions;
  • The death of a partner;
  • Resolving disputes.

The three main types of partnerships are:

  • General Partnerships. A general partnership involves two or more owners carrying out a business purpose;
  • Limited Partnerships;
  • Limited Liability Partnerships (LLP).

Sanitas Law can assist you in crafting a partnership agreement that will be an important tool in the success of your venture.