Drafting partnership agreements

Partnerships occur when two or more people go into business together and share the risks, the costs and the responsibilities. It is always a good idea to draft an agreement outlining the structure of the relationship, the share of profits (or losses) each partner will take and the responsibilities of each partner. In addition, it should cover the partners’ authority, the decision making process in the partnership, an outline of the management duties and a provision for admitting new partners. It is well worth having a written partnership agreement to enable all partners to know where they stand in the event of the partnership coming to an end or one of the partners wishing to leave. For example, it can be detrimental to a business if a senior partner retires and takes out all their capital at once. Normally a partnership agreement will set out a procedure whereby a retiring partner withdraws their capital over a reasonable period. We can assist in the preparation of a partnership agreement and will be able to charge a fixed fee for straightforward matters. Please contact Nick Hart to discuss your needs or telephone 020 8854 1331 to make an appointment.

Advising on partnership termination

Partnerships are legal business entities that have two or more owners. Business partners have the legal right to terminate a partnership according to the partnership agreement and this can be prompted by disagreement, death, expulsion or retirement. Termination of a partnership can be a distressing event. Proper legal advice will ensure that the assets of the business are divided fairly and each partner is able to continue with their working life with the least disruption. We are happy to advise on the termination of a partnership.

The business team at Hudgell & Partners has experience of the many aspects of partnership agreements for partnerships, both large and small, across different sectors in South East London. Whether you are thinking of creating a partnership, expanding your existing partnership or terminating it, contact Nick Hart to discuss your needs or telephone 020 8854 1331 to make an appointment.