ManagementMania AppMania EduMania JobMania BusinessPages


What is Partnership
The term Partnership designates either a type of legal person (founded based on legislature) or a relationship between two organisations who are working in cooperation.

The term Partnership designates either a type of legal person (founded based on legislature) or a relationship between two organisations who are working in cooperation.

A partnership which is a legal person is a type of an entity which is owned by at least two people (partners) who share the profits and risks of running a business. This company form is widely used in a number of countries (USA, UK, India, Hong Kong, Canada, Australia, as well as less often in China, Germany, Japan and the Netherlands).

Partnership in practice: Just like in the case of a sole proprietorship , the partners are liable with their entire property, unlike in the case of a corporation. There exist certain types of partnership which are limited in liability, however, eg LLPs. The conditions for the establishment of such partnership differ from state to state and are governed by the country´s jurisdiction, ie the pertaining legislature of the given state.

Related terms and methods:

Related areas of management:

  • Organisational management
  • Law

Related terms and methods:

Related management field:

previous next
Did this article help you?
Rating:
Last update: 04.08.2013

Comments



You cannot contribute to the discussion because it is locked


Related consulting companiesmore...