What Is Partnership Deed – Operdiva

A partnership deed is a written document containing the terms & conditions, rules & regulations, and rights & duties. It is not necessary to have a deed but it is advisable to have one. It is also known as articles of partnership.

 

Contents Of Partnership Deed

  • Name & address of the firm.
  • Name & address of partners.
  • Capital Contribution by each partner.
  • The Profit-sharing ratio of partners.
  • rights & duties of partners.
  • Amount of salary/commission payable to partners.
  • Nature of business proposed to be carried on by the firm.
  • Rate of interest on capital.
  • The extent to which partners are to be taken.
  • Amount of withdrawals to be allowed to each partner.
  • The power & duties among partners.
  • Evaluation of goodwill at the time of admission & retirement of a partner.
  • Procedures for dissolution.
  • Maintain account & auditing.
  • Arbitration clause for settlement of disputes among the partners.
  • Management & voting requirements.
  • Duration of partnership.
  • Interest on loan.
  • Valuation of assets.
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