Partnership

The Partnership Agreement

The impact of disputes can be lessened if the partners have executed a well-planned partnership agreement that specifies everyone's rights and responsibilities. The agreement might provide such details as the following:

Amount of cash and other contributions to be made by each partner
Division of partnership income (or loss)
Partner responsibilities - who does what
Conditions under which a partner can sell an interest in the company
Conditions for dissolving the partnership
Conditions for settling disputes