Basic Partnership Firm

Basic Partnership Firm

A Basic Partnership is a business structure in which two or more individuals manage and operate a business in accordance with the terms and objectives set out in the partnership deed. This structure is thought to have lost its relevance since the introduction of the Limited Liability Partnership (LLP) because its partners have unlimited liability, which means they are personally liable for the debts of the business. However, low costs, ease of setting up and minimal compliance requirement make it a sensible option for some, such as home businesses that are unlikely to take on any debt. Registration is optional for Basic Partnerships.

The formation of a partnership requires a voluntary “association” of persons who “co-own” the business and intend to conduct the business for profit. There are two types of partnership firms, registered and unregistered. It is not compulsory to register a partnership firm; however, it is advisable to register a partnership firm due to the added advantages.

Persons can form a partnership by written or oral agreement, and a partnership agreement often governs the partners’ relations to each other and to the partnership. generally, each partner is jointly and severally liable with the partnership for the obligations of the partnership and for the wrongful acts or omissions of a copartner.

Documents Required For Basic Partnership Firm

1.      Each partners Pan Card / Photo

2.      Each partners Email Address

3.      Business Name

4.      Business Address Proof (Electricity Bill)

5.      Profit ratio of each partners

6.      Each partners id (Aadhar Card, Passport, Driving License, Voter id Card)

7.      Each partners Mobile Number

8.      Business Description

9.      Each partners full Address

Complete all Process within 15-21 days