Final answer:
Partnerships offer advantages such as ease of starting up and no special taxes, but have the drawbacks of mutual liability and potential changes with the departure of a partner. Successful partnerships require a thorough agreement, mutual trust and communication, and a clear division of roles and profits.
Step-by-step explanation:
The advantages of partners in a business partnership include ease of startup with a partnership agreement, simplified management, agreed-upon terms in the partnership paperwork, no special taxes, attracting investors easily, efficiency compared to sole proprietorship, and the potential to hire additional employees. In contrast, the disadvantages of partners involve mutual liability for partners' actions, limited lifespan of the partnership upon a partner's exit or death, and potential changes in the business structure with new partners.
To ensure a successful partnership, three key factors must exist: a clear and comprehensive partnership agreement, mutual trust and effective communication between partners, and a well-defined division of responsibilities and profits. Without these, the partnership may encounter challenges that could hinder its operation or lead to its dissolution.