Partnerships can be as simple as the parties wish to make it, or as complicated as might be required! We will provide specialist advice on all aspects of Partnership Law and can assist you with the setting up of the partnership.
In the absence of a written Partnership Agreement, all partnerships are governed by statute on a simple ‘equal basis’. However, our experience shows that partnerships are often more complex and cannot always be dealt with on this ‘equal’ basis. For this reason, those partnerships which have a detailed written agreement from the outset tend to survive longer, as a written agreement can often be the difference between those partnerships that survive a dispute, and those that end up being ‘wound up’.
As its basic, a partnership is a collection of two or more individuals working together and it is therefore no surprise that disputes often arise, perhaps out of a genuine grievance by one party over the other(s) or simple misunderstandings. Once a dispute has arisen, it may not be possible to reconcile the parties’ interests. However, if careful thought is given to all matters that might affect the partnership when the parties are all in agreement (i.e at the outset) documenting these agreements in a written document can often act as a fall back mechanism which might ultimately save the partnership, if a dispute should arise.
Some of the factors to be take into account :
- Capital Investment
- Time Investment
- Obligations and Duties of each Partner
- Rights of each Partner
- Sharing Partnership profits
- Restrictions on Partners additional businesses
- Retirement & Expulsion
If you are already established in a partnership we can review the existing arrangements to ensure that you remain fully protected and are up-to-date with the law.
A professionally prepared and fully thought out partnership agreement should protect you and your partnership, in all situations. Should a dispute arise, however, we can help you to resolve it quickly and with the minimum disruption to your business.