Partnerships Flashcards
1
Q
Who owns the business?
A
The partners
2
Q
Number of owners?
A
2-20 people
3
Q
Who controls the business?
A
The partners
4
Q
Who finances the business?
A
The partners
5
Q
What liability is there?
A
Unlimited Liability
6
Q
Who keeps the profit?
A
The partners share the profit equally
7
Q
How is the business established?
A
The partners have a deed of partnership
8
Q
What happens if the owner dies?
A
Trading will stop under your name but the business will continue
9
Q
State 2 Advantages of Partnership
A
More people are contributing capital
Less Pressure
10
Q
State 2 disadvantages of Partnership
A
Shared profits
Unlimited Liability
11
Q
What is a deed of partnership?
A
A contract the both partners in the business sign about shared and different responsibilities