Partnership Deed Format PDF

Download Free Partnership Deed Sample PDF format.

Written legal document between parties

For business purpose

Draft deed

Method of a settling disputes

On time compliances

Experts Advice

Introduction of Partnership Deed

Partnership Deed is a written legal document made between two or more people that emphasizes the rights and control of the members of a partnership firm for starting the business, making the profits and losses together under the mutual understanding with the only purpose to do business and to make other significant decisions.

Legal Window has a team of experts providing you with the best assistance, timely delivery and guaranteeing the highest customer satisfaction with respect to legal drafting of partnership deeds. You may get in touch with our team on 072407-51000 or email admin@legalwindow.in.

Necessity to Create Partnership Deed

A partnership is just a business enterprise which deals with purely the business aspects among its partners. It is a written document which is much more useful than any oral agreement executed between two or more persons. As to outline and clearly specify the business needs we should need to know that the creation of a partnership deed is the foremost factor. The importance of creation of a partnership deed is mentioned below:

A well-drafted partnership deed helps in specifying the rights, liabilities of the partners of the partnership firm, profit sharing ratio among the partners, capital requirement, etc.

Avoiding the confusion among the partners and also clearly specifies about each & every partner in detail.

The partnership deed also helps in settling the dispute which may arise in future.

Factors Required to from Partnership Deed Sample PDF

There are mainly five factors on the basis of which partnership deed is formed which are as mentioned below:

A partnership deed is basically a contract executed between the partners to the business binding all the partners of a partnership firm in a legal relationship

There are only two members required to form a partnership but there is a limitation in case of banking where only ten members can be admitted and twenty in case of non-banking business

The partners should pursue a mutual understanding for doing a business;

Advance decision must be made among all the partners for deciding the ratio for profits & losses

All partners of the firm should maintain a relationship of principal-agent. In case of partnership every partner is answerable for the actions done by other partners.

Process of Drafting Partnership Deed

1. Placing request
As we receive a request from you for drafting of partnership deed, our expert team will share a questionnaire to be filed by you for taking your request forward

2. Drafting of Agreement
After receiving the said questionnaire and the information relevant for drafting of the partnership deed we will begin to draft the same and if in need we require any other information the same will be sought by us through a call. The drafting of the deed might take 1-2 business days.

3. Sharing of Ist draft
Once the deed is ready from our side we will share a draft of the same with you for final approval. If you find the same in order the final copy will be shared in a day and if corrections or additions are required then the same will be revised and verified by our team.

4. Sharing of Final Agreement
Our experts will do the needful and the same will be shared with you as final deed which is to be signed by you and the same is to be notarized or get the same registered.

Contents Of Partnership Deed Sample PDF

There is no standardized format for drafting a partnership deed some of the clause are mentioned below:-

Name & Address of all the partners

Amount of capital contribution by each partner

Accounting period of the firm

Mode of appointing auditor, if any

Profit & loss sharing ratio

Date of commencement of partnership

Name & Address of the firm and its main business

Rules regarding the operation of Bank Accounts

Process of Settlement of the accounts on the dissolution of the firm

Treatment of loss if any arises out of insolvency of one or more partners

Salaries, commission if any payable to any partner

Method of a settling of disputes among the partners

Admission, retirement, the death of a partner and the Rules to be followed in case of 

Any other matter related to carrying out the business.

Rate of interest on capital, loan, drawings, etc

Rights, duties, and liabilities of each partner

Download Free Partnership Deed Sample PDF format

FAQ's on Partnership Deed

What do you mean by partnership?

When two or more people come together to start a business enterprise with an intention to share profit and losses of business and undertake mutual objectives it is called Partnership.

How many members are required to form a partnership?

There are only two members required to form a partnership but there is a limitation in case of banking where only ten members can be admitted and twenty in case of non-banking business.

What is the time period to get the partnership firm registered?

There is no specific time prescribed for registering a partnership firm. A partnership firm can be registered at any time i.e. in the beginning of the business or at while business is in continuation.

What do you mean by Partnership Deed?

Partnership Deed is a written legal document made between two or more people that emphasizes the rights and control of the members of a partnership firm for starting the business, making the profits and losses together under the mutual understanding with the only purpose to do business and to make other significant decisions.

Is registration of partnership mandatory?

Registration is optional but it is advisable to register a partnership firm because the registered partnership firms enjoy more rights than an unregistered firm.

Is there any restriction on the introduction of personal property while setting up a business?

In case of a Partnership Firm, the liability of partners is unlimited which means one can use his/her personal assets in the business. So there are no restrictions on the introduction of capital by every partner and it differs from partner to partner.