Partnership Firm

Partnership as the ‘relation between persons who have agreed to share the profits of a business carried on by all or any of them acting for all’.

The partnership is an agreement between two or more persons who decided to do business and share its profits and losses. To have a legal relationship between the partners, the partnership agreement becomes the basis. The agreement can be in written form or oral form. An oral agreement is equally valid. But, preferably the partners should have a written agreement, in order to avoid disputes in future.