Partnership ,Partnership part 2

khushal By khushal, 19th Oct 2014 | Follow this author | RSS Feed
Posted in Wikinut>Business>Accounting & Finance

In a sole proprietorship business, only one man introduces capital, undertakes the risk involved in the business and controls the whole affairs of the business. Each person has his own limitations and needs help from other persons to run a business therefore some persons may combine and enter into an agreement to form a partnership.

Partnership ,Partnership part 2

In a sole proprietorship business, only one man introduces capital, undertakes the risk involved in the business and controls the whole affairs of the business. Each person has his own limitations and needs help from other persons to run a business therefore some persons may combine and enter into an agreement to form a partnership. They are agreed to share the capital, the risk and profits fo the each year of the business.

Partnership part 2
On the basis of above definitions it can be concluded that a partnership business is an association of two or more persons who carry on or run business together with an objective of getting profits.
The important characteristics of partnership business are as follows
1 Partnership includes two or more persons.
2 Partnership includes an agreement between the partners to share the profits and losses of the business.
3 The relation of Partnership arises from agreement.
4 The partnership firm is governed by Indian partnership act, 1932
5 In partnership business, secrets are open to every partner.
6 In partnership business, the partners must agree to carry on business with some specific law.

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author avatar khushal
i am working of business department and i am perfect in business

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author avatar viewgreen
20th Oct 2014 (#)

Well information's about the business issue. Thank you for sharing this information.

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author avatar khushal
21st Oct 2014 (#)

thanks to read my post

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