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What is partnership.
List the advantages and disadvantages of partnership.​

User Memeplex
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2 Answers

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Answer:

Disadvantages of a partnership include that: the liability of the partners for the debts of the business is unlimited. each partner is 'jointly and severally' liable for the partnership's debts; that is, each partner is liable for their share of the partnership debts as well as being liable for all the debts.

Step-by-step explanation:

User TomAugspurger
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Step-by-step explanation:

PARTNER SHIP:

WHEN TWO OR MORE PEOPLE ARE IN BUSINESS TOGETHER IT IS CALLED A PARTNERSHIP. A PARTNER ACTING ALONE IN THE NAME OF THE BUSINESS BINDS THE OTHER PARTNERS.

ADVANTAGES OF PARTNERSHIP:

◇ TWO HEADS OR MORE ARE BETTER THAN ONE.

◇ YOUR BUSINESS IS EASY TO ESTABLISH AND START- UP COSTS ARE LOW.

◇ MORE CAPITAL IS AVAILABLE FOR THE BUSINESS.

◇ YOU'LL HAVE GREATER BORROWING CAPACITY.

◇ HIGH- CALIBRE EMPLOYEES CAN BE MADE PARTNERS.

◇ PARTNERS BUSINESS AFFAIRS ARE PRIVATE.

◇ IT'S EASY TO CHANGE YOUR LEGAL STRUCTURE LATER IF CIRCUMSTANCES CHANGE.

DISADVANTAGES OF PARTNERSHIP:

◇ THE LIABILITY OF THE PARTNERS FOR THE DEBTS OF THE BUSINESS IS UNLIMITED.

◇ THERE IS A RISK OF DISAGREEMENTS AND FRICTION AMONG PARTNERS AND MANAGEMENT.

◇ EACH PARTNER IS AN AGENT OF THE PARTNERSHIP AND IS LIABLE FOR ACTIONS BY OTHER PARTNERS.

◇ IF PARTNERS JOIN OR LEAVE, YOU WILL PROBABLY HAVE TO VALUE ALL THE PARTNERSHIP ASSETS AND THIS CAN BE COSTLY.

HOPE IT HELP....❣❣❣

User Abatyuk
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