Partnership Flashcards
1
Q
What is a Deed of Partnership?
A
A Deed of Partnership is a legal document that sets out the rules of the partnership.
2
Q
What details are usually included in a Deed of Partnership?
A
Details typically include how to divide profits, how decisions are made, how to value the business if someone wants to leave, and how to decide on new partners.
3
Q
What are some disadvantages of a partnership?
A
Disadvantages include disagreements with partners, unlimited liability, liability for the actions of other partners, and sharing profits.
4
Q
What are some advantages of a partnership?
A
Advantages include sharing the workload, having more sources of finance than a sole trader, and sharing skills.
5
Q
What is a partnership
A
A business owned and operated by 2 or more people
