3 Advantages of Partnerships (And What to Watch Out For…)

If you have been considering forming a partnership, you probably want to know a little bit more about the process along with some advantages of partnership.

There are 2 forms of partnerships: general or limited partnerships.

While a general partnership is easier to form, each partner assumes the same amount of liability when it comes to paying debts or responding to a lawsuit.

However, a limited liability partnership or limited partnership limits the liability that is assumed by the partners.

If you have any questions about the partnership advantages you’ll be getting, email at sam@mollaeilaw.com with your questions.

I can assist you in setting up a partnership or any other business entity.

Let’s get started…

 

What is a Partnership?

A partnership is a relationship that is created by a contract between two or more people to perform business activities in a co-ownership capacity.

In some partnerships, the partners or co-owners take an active part in the business while other partnerships include partners whose partnership participation is limited.