Meaning of partnership

 According to Indian to Indian

Partnership Act, 1932 “partnership is a
relation between such persons, who
have agreed to share the profit of
business, which is run by all or by one
on behalf of all.”

 CHARACTERISTICS OF
PARTERNERSHIP FIRM
1) Relation by agreement
2) Establishment procedure
3) Registration
4) Number of Partners
5) Purpose
6) Management
7) Capital
8) Unlimited liability
9) Transfer of ownership

Limitations of Partnership Firm :

1) Limited Capital
2) Unlimited Liability
3) Possibility of disagreement
4) Difficulty in maintaining secrecy
5) Difficulty in share transfer
6) Delay in decision making
7) Short life span
 PARTERNERSHIP DEED :
1) NAME AND ADDRESS OF FIRM
TELEPHONE NUMBERS OF
PARTNERS
2) PUROSE AND TYPE OF BUSINESS
DATE OF ESTABLISHMENT
3) DETAILS OF PARTERNERS
CAPITAL
4) PARTERNERS CAPITAL AND
BORROWINGS
5) RATE OF INTEREST ON LOAN
GIVEN BY PARTNERS.
6) RATIO OF PROFIT-LOSS
DISTRIBUTION
7) DISTRIBUTION OF WORK
AMONG PARTNERS
8) PROVISION FOR ACCOUNTING
AND BOOK KEEPING IN FIRM
9) PROVISION OF POWER FOR
BANKING TRANSACTION
METHOD OF VALUATION OF
GOODWILL
10) PROVISIONS FOR ENTRY OF
NEW PARTNERS AND FOR
RETIREMENT OF OLD
PARTNERS
11) PROVISiONS FOR SETTLEMENT
OF ACCOUNTS AT THE TIME OF
DISSOLUTION OF FIRM.
CONSEQUENCES OF NON REGISTRATION
OF PARTNERSHIIP FIRM
1) CASE TO OTHER PARTIES
2) RECOVERY OF CREDIT SALES
3) ARBITRATION IS NOT POSSIBLE
4) CHANCE OF QUICK DISSOLUTION
5) CHEATING WITH OTHER PARTNERS

METHODS OF DISSOLUTION OF
PARTNERSHIP FIRM :
DISSOLUTION BY NOTICE : ACCORDING
TO PARTNERSHIP ACT, SECTION- 42 ,THE
PARTNERSHIP OF BUSINESS CAN BE
OTHER PARTNERS.
DISSOLUTION BY THE COURT : IF ANY
PARTNER GIVE COMPLAIN AGAINST
ONE OR MORE PARTNERS ON ANY OF
THE FOLLOWING GROUNDS :
i) IF A PARTNER BECOMES
IMBALANCE
ii) IF A PARTNER BECOMES
PERMANENTLY INCAPABLE OF
DOING WORK.
iii) IF APARTNER FREAQUENTLY
BREAKSPARTNERSHIP AGREEMENT.
iv) IFA PARTNER HAS TRANSFERRED
THE WHOLE OR A PART OF HIS
INTEREST TO A THIRD PARTY,
WHICH IS NOT LAWFULL.