Partnership Agreement Template
Partnership Agreement Template
Are you in business with someone else?
When 2 or more people (but less than 20 people) operate a business together and that business has a separate tax file number and needs to lodge its own tax return, that business is a partnership. And all business partnerships in Australia should have a partnership agreement.
Why do I need a partnership agreement?
A partnership agreement explains the rights and obligations of each business partner. It helps to ensure that:
each party in the partnership is clear about what they have to do and what they can expect their partner(s) to do;
regulates the capital (money) each partner is to put into the business;
ensures that financial accounting and reporting is dealt with in a structured way;
stops one of the partners dipping into the business funds for personal use;
considers when a partner can retire (or resign) and how much notice should be given and how the business should be valued if that happens;
allows the partners to discuss and plan for “what ifs” such as the death of a partner; and
much more!
About the Partnership Agreement Template
The Partnership Agreement Template is a template partnership agreement and:
· is a general template drafted for Australian laws. It is suitable for use in New South Wales, Queensland, Victoria, Tasmania, South Australia, Western Australian, the Northern Territory and the Australian Capital Territory.
· Is drafted for a 2 partner partnership, however could foreseeably regulate a partnership with more than 2 partners.
· Contemplates equal contributions and liability from the partners (eg a 50/50 partnership)
· Allows for resignation or retirement of partner;
· Deals with expulsion of partner for breach of partnership and in the case of this or resignation, contains a method for valuation of the partnership business.
Contains instructions for use.
If you have questions, please get in touch with us via bossteam@readytobosslegal.com Alternatively, if the document raises serious legal questions about the operation of your partnership, you should obtain legal advice on this document and the partnership in general before you enter into it. If you require legal advice, you can find a list of lawyers who can assist at: https://readytobosslegal.com/services
Disclaimer
Ready to Boss Legal is a legal publisher. We are not a law firm and you acknowledge that by purchasing, downloading and customising this template, Ready to Boss Legal is not acting as your lawyer or providing you with legal advice.
This template is legal information only and should not substitute for or constitute professional legal advice. We recommend you consult with a lawyer for legal advice, noting Ready to Boss Legal is a legal publisher and not a law firm.
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