Partnership

tl;drA business structure where two or more parties share ownership, profits, and responsibilities.

Partnerships can be general (all partners have unlimited liability) or limited (some partners have limited liability and involvement).

For instance, three professionals form a consulting partnership, each investing $100,000 and sharing profits based on agreed percentages. They share management responsibilities and business risks while combining their expertise and resources to serve clients.

Managing partnerships requires clear agreements regarding roles, profit sharing, and decision-making. Organizations must address partner relationships while maintaining effective operations.

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