Partnership Business

Introduction: There are different types of business available in the country. Partnership business is one of them. It is consist of the some partners (more than one) and they must have the good relationship and faith before starting the business. It any partners have the wrong mentality business can continue. So, the base of partnership business is fiduciary relationship. Here we are discussing about the partnership business with some information regarding these ideology. The Partnership ct of !"#$ ( ct I% of !"#$) applies to partnerships created by agreement between parties. Definition & Characteristics: Section & of the Partnership ct defines a partnership as follows' (Partnership is the relation between persons who have agreed to share the profits of a business carried on by all or any of them acting for all.) !. $. #. partnership, as defined in the ct, must have three essential elements' There must be an agreement entered into by two or more persons The agreement must be to share the profits of a business. The business must be carried on by all or any one of them acting for all.

1. Voluntary Agreement partnership can only arise as a result of an agreement, e*press or implied, between two or more persons. +here there is no agreement there is no partnership. ,ut a partnership cannot be formed with more than ten persons in ban-ing and twenty persons in other types of business. 2. haring of Profits of a Business: The second element states the motive underlying the formation of a partnership. It also lays down that the e*istence of a business is essential to a partnership. ,usiness includes any trade, occupation or profession. If two or more persons .oin together to form a music club it is not a partnership because there is no business in this case. !. "utual Agency: The third elements is the most important feature or partnership. It states that persons carrying on business in partnership are agents as well as principals. The business of a firm is carried on by all or by any one or more of them on behalf of all. /very partner has the authority to act on behalf of all and can, by his actions, bind all the partners of the firm. /ach partner is the agents of the others in all matters connected with the business of the partnership.

Partnership Agreement:
The agreement to carry on business in partnership may be oral or in writing. If it is in writing, the document in which the terms are incorporated is called the 0eed of Partnership or the Partnership.1 !. 2elationship between partners regarding the business. $. 3ame, ddress, age etc. of the partners #. 4irm name &. 3ature of business 5. 6ocation of business 7. ,usiness address 8. 0uration of the partnership 9. :ode of dissolution of partnership ". mount of capital contribution of each partner. !;. Share profit to be ta-en by each member !!. :ode of management !$. Power of the partners !#. Term of retirements (<nder what condition a partner retired) !&. /*pulsion of member !5. Interest of dvance !7. Indemnity fault or personal fault THIS P 2T3/2SHIP =2//:/3T is made this $&th pril of $;!&, by and between the following individuals' Safwan hmed Sayeed hmed ddress' <poshahar, Sylher >ity?State?@IP' Sylhet1#!;; ddress' @indabaAar, Sylhet >ity?State?@IP' Sylhet1#!;; rticles of

1. #ature of Business. The partners listed above hereby agree that they shall be considered partners in business for the following purpose' To produce cosmetic goods and supplies to the customers. 2. #ame. The partnership shall be conducted under the name of hmed B ,rothers >o. and shall maintain offices at Surma Tower, Taltola, Sylhet. !. Day$%o$Day &peration. The partners shall provide their full1time services and best efforts on behalf of the partnership. 3o partner shall receive a salary for services rendered to the partnership. /ach partner shall have eCual rights to manage and control the partnership and its business. Should there be differences between the partners concerning ordinary business matters, a decision shall be made by unanimous vote. It is understood that the partners may elect one of the partners to conduct the day1to1 day business of the partnershipD however, no partner shall be able to bind the partnership by act or contract to any liability without the prior written consent of each partner.

&. Capital Contri'ution. The capital contribution of each partner to the partnership shall consist of the following property, services, or cash which each partner agrees to contribute'

#ame &f Partner Safwan Sayeed

Capital Contri'ution TE $;;;;;; TE $;;;;;;

( hare 5;F 5;F

The partnership shall maintain a capital account record for each partnerD should any partnerGs capital account fall below the agreed to amount, then that partner shall (!) have his share of partnership profits then due and payable applied instead to his capital accountD and ($) pay any deficiency to the partnership if his share of partnership profits is not yet due and payable or, if it is, his share is insufficient to cancel the deficiency. ). Profits and *osses. The profits and losses of the partnership shall be divided by the partners according to a mutually agreeable schedule and at the end of each calendar year according to the proportions listed above. +. %erm,%ermination. The term of this greement shall be for a period of Twelve years, unless the partners mutually agree in writing to a shorter period. Should the partnership be terminated by unanimous vote, the assets and cash of the partnership shall be used to pay all creditors, with the remaining amounts to be distributed to the partners according to their proportionate share. -. Disputes. This Partnership greement shall be governed by the laws of the State of Partnership ct. ny disputes arising between the partners as a result of this greement shall be settled by arbitration in accordance with the rules of the merican rbitration ssociation and .udgment upon the award rendered may be entered in any court having .urisdiction thereof. .. /ithdra0al,Death of Partner. In the event a partner withdraws or retires from the partnership for any reason, including death, the remaining partners may continue to operate the partnership using the same name. withdrawing partner shall be obligated to give si*ty (7;) daysG prior written notice of his?her intention to withdraw or retire and shall be obligated to sell his?her interest in the partnership. 3o partner shall transfer interest in the partnership to any other party without the written consent of the remaining partner(s). The remaining partner(s) shall pay the withdrawing or retiring partner, or to the legal representative of the deceased or disabled partner, the value of his interest in the partnership, or (a) the sum of his capital account, (b) any unpaid loans due him, (c) his proportionate share of accrued net profits remaining undistributed in his capital account, and (d) his interest in any prior agreed appreciation in the value of the partnership property over its boo- value. 3o value for good will shall be included in determining the value of the partnerGs interest.

1. #on$Compete Agreement. partner who retires or withdraws from the partnership shall not directly or indirectly engage in a business which is or which would be competitive with the e*isting or then anticipated business of the partnership for a period of twenty years, in those period of this State where the partnership is currently doing or planning to do business. I3 +IT3/SS +H/2/H4, the partners have duly e*ecuted this greement on the day and year set forth hereinabove. IIIIIIIIIIIIIIIIIIIIIII Partner IIIIIIIIIIIIIIIIIIIIIII Partner

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