Partnership Law - If you don't have a Partnership Agreement, you are at serious risk of financial loss.

Without a Partnership Agreement, the general law automatically applies. This means that in any disputes or difficulties between partners, the law can set in motion a course of events that could be totally contrary to your own wishes.

Without a Partnership Agreement…

• it may not be clear if any property used by the partnership belongs to the partnership or belongs solely to one of the partners
• if one partner puts more money than the other(s) into the business, the law will still imply that profits are shared equally
• if you are a partner on a salary, you will still be liable for any damage or losses made by one or more of your other partners
• if one partner dies or becomes bankrupt, the partnership will be automatically dissolved and the assets distributed. If the partnership continues, you may have to raise a large capital sum to pay the estate of the deceased partner.
• to recoup your investment from a partnership you may have to dissolve it and sell the business and the assets. If there is a dispute or argument between partners, or one partner is acting untoward, with no other provisions in place, everything may have to be sold and the business closed.

Why take the risk? For a relatively small outlay you can protect your interests from the start.

At HilliersHRW we offer:

• fixed-fee partnership agreements
• tailor-made agreements to suit your needs
• specialist advice on partnership disputes
• expertise in litigation
• deeds of dissolution

Find out more about commercial contracts and agreements.

Contact Martin Addrison.