Final answer:
The articles of partnership agreement define the various aspects of a partnership such as the purpose, the rights, responsibilities, and contributions of each partner. It serves as a guideline for the operation and management of the business and can be expressed either orally or in written form, but written is recommended.
Step-by-step explanation:
The articles of partnership agreement is a foundational document for a partnership, which defines the business relationship between two or more individuals who have decided to do business together. This agreement specifies the purpose of the partnership, the rights and responsibilities of each partner, distribution of profits and losses, and details of what happens if a partner wants to leave or if a new partner is added.
General partnerships involve shared responsibility and profits among stakeholders, while a limited liability partnership (LLP) offers protection for personal assets of the partners. Key benefits of partnerships include ease of formation and management, tax advantages, and the ability to attract investors.