A Partnership Agreement is a crucial document if you are operating a business with someone else. It is used with partnership structures only and should not be confused with a Shareholders Agreement which is used in company shareholding arrangements. However, both documents are very similar.
A Partnership Agreement is like a pre-nup for your business. It sets out the ground rules in case of a disagreement, split or the death or serious illness of a partner. It will cover things such as:
- What each partner has contributed to the business initially (financially or otherwise).
- Rights, expectations and responsibilities of partners.
- What happens if one or more partners want to leave the partnership.
- What happens if a partner breaches the partnership agreement.
- What happens if a partner dies or is too unwell to perform their duties.
- How disputes are dealt with.
- How partnership interests are bought and sold.
The Small Business Lawyer will work with you to create a custom partnership agreement which suits the unique needs of your business.