View source for Social:Articles of partnership

'''Articles of partnership''' is a voluntary [[Finance:Contract|contract]] between/among two or more persons to place their [[Finance:Capital (economics)|capital]], labor, and skills into a business, with the understanding that there will be a sharing of the profits and losses between/among partners.  Outside of North America, it is normally referred to simply as a '''partnership agreement'''.<ref>{{cite book|last=O'Sullivan |first=Arthur |first2=Steven M. |last2=Sheffrin |title=Economics: Principles in Action |url=https://archive.org/details/economicsprincip00osul |url-access=limited |publisher=Pearson Prentice Hall |date=2003 |location=Upper Saddle River, New Jersey|pages=[https://archive.org/details/economicsprincip00osul/page/n207 191] |isbn=0-13-063085-3}}</ref>
A partnership agreement is a written and legal agreement between/among business partners. It is always recommended but not essential for partners to have such an agreement.

==Articles of partnership==
Multiple sections are often included in articles of partnership, based on the circumstances:
* the granting of the partner the rights to manage and administer the business or a specific department.
* the authorization of a majority of partners to manage the affairs of the entire partnership. This is particularly common where there are numerous partners.
* provisions to account for, annually, the property and debts of the business.
* the forbidding of any partner to carry out business unrelated to the partnership. This is usually implied in articles of partnership.
* the allowance of expelling partners who commit gross misconduct or become insolvent, bankrupt, etc. This is particularly common where there are numerous partners.
* the submission of arguments to [[Social:Arbitration|arbitration]].
* the allocation of business income and losses among partners.

==See also==
* [[Social:General partnership|General partnership]]

==References==
{{Reflist}}


[[Category:Business law]]
[[Category:Partnerships]]

{{Sourceattribution|Articles of partnership}}