Hi everyone.  I am back now with the next in the series.  Today, we will be dealing with how and why of a partnership business.  What is a partnership?  A partnership business can be between two persons or more and these persons will be called as partners. The partnership has to be registered with the Registrar of Firms.  Stamp paper has to be procured as per respective states. 
Details & Documents required for registration are: 

• Details of Partners (name,address, email id & phone no.)
• PAN number of the Partners 
• Aadhar Card/Passport/Driving licence for address proof of all partners.  
• Photograph of all partners.  
• Rental agreement of the business place.  
• Name of the proposed firm 
• Proposed registered office address..
• Nature of activity.
• Specify the bank operation by stating any one or all jointly or any two or any one particular person.
• Capital ratio, Profitability ratio, 
• Legal jurisdiction.  

Submission of the partnership deed along with the application, the registrar will create a certificate in 5 to 12 days.  On receipt of certificate, before proceeding further, PAN has to be applied. 

   
Point to be borne in mind:
• The partnership is an unlimited liability concept.  That means in the eventuality of business losses, the partners’ personal assets are also counted to repay the liability in case business cannot repay on its own.

Conclusion:  In a nutshell, a partnership is good for small business or services where more than one person is involved as owners.

So folks, the road is now clear to start a partnership form of business.  Our next blog will feature another form of business, that is LLP(limited liability partnership)…so watch out