By definition, a partnership is a business with more than just one person or one owner running it. A partnership refers to businesses with owners who have not filed legalities to become a limited liability company or LLC.

If you’re planning to enter a business venture with another person but you guys don’t want to make it a corporation, you need to know the basics of partnership.

There are two types of partnerships: general and limited. General partnerships are very common compared to limited partnerships.
Business based on partnership guarantees simple and inexpensive structure to manage it.
Although it is a ‘partnership’, there is personal liability for all owners. That means everyone is personally liable for business debts or business obligations. It also means if you and your partners fail to pay the creditor, you and your partner’s assets will be seized according to court rulings.
Taxes for business partnerships is what the IRS calls as pass through entity. Taxes will not be paid as partners; it will be paid individually.
When creating a partnership for your business, you and your partners are not required to go through the difficult and serious paper works. What you need to comply are the following: local registration, pay the minimum tax, IRS employer identification number, state issued seller license, and the zoning permit.
If you wish to end a partnership, remember that the partnership usually dissolves when it becomes tricky and one partner wants to leave the business. This is one of its greatest disadvantages.

That’s why before you enter a partnership and before you sign the partnership agreement, get a lawyer. Not only does a credible lawyer capable of protecting you and your assets from bad decisions, he or she will also help you straighten the creases.

So if you’re thinking of getting into a business partnership, hire a lawyer right now.

Related Posts
Open container violation
While driving your car, you are not allowed to have any alcohol containers, such as bottles and cans, that have been opened, having broken seal, nor had its content partially ...
READ MORE
Decide when you should file a lawsuit?
Before deciding to file a lawsuit, here are important things you should consider. First, determine if you have a good case. Reflect if you can accept compromise settlement, or if ...
READ MORE
DWI: Driving while intoxicated
Operating  or driving a motor vehicle while under the influence of alcohol or drugs that impair your driving skills and perception is a crime in the United States which is ...
READ MORE
How do I know if I need a lawyer for a landlord tenant dispute?
Often times, landlord tenant disputes in which renters and residence owners will claim over issues such as maintenance of residence, increasing of the lease, disturbance, trespassing, rental and comfort issues. ...
READ MORE
declaring yourself bankrupt?
When you are neck deep in your debts and there are creditor’s threats looming and lurking around ready to take your assets and leave you with nothing, you may need ...
READ MORE
Adoption Legal Services
Adopting a child can be a wonderful experience and fortunately, most adoptions work out well for everyone involved. Adoption is a legal process that ends the rights of the biological ...
READ MORE
How to get workers compensation lawyer
For those of you who are in job need to have a clear idea about what you as an employee are liable for. And by this aspect it does not ...
READ MORE
How to win Child Custody
Parents who desire to win child custody in the court should first understand the child custody laws in their jurisdiction. The key to win child custody is proving that you ...
READ MORE
How landlords can check a tenant’s credit report?
There are private credits reporting agencies that collect credit files and other consumer information and sell them. Landlords can get the credit report of their tenants through these agencies. Landlords ...
READ MORE
Legal help in Short Sale or Deed in Lieu of Foreclosure
A short sale and a deed in Lieu of Foreclosure are the best options if you want to give your home up, but don’t want foreclosure. These options let you ...
READ MORE
Open container violation
Decide when you should file a lawsuit?
DWI: Driving while intoxicated
How do I know if I need a
declaring yourself bankrupt?
Adoption Legal Services
How to get workers compensation lawyer
How to win Child Custody
How landlords can check a tenant’s credit report?
Legal help in Short Sale or Deed in