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According to investopedia, Partnership is a formal arrangement between two or more parties to manage and operate a business and share it's profits.And however, it has some advantages and disadvantages.

Merit: Most individuals do not have the time or resources to run a successful business alone therefore give room for partners to put resources together and abilities.
Partnership also make the day to day operation of a business more manageable than when one person were involved.

Demerit: During sharing of profit, partners may assume responsibility for any losses or dept from the other partner.
There is a higher chance of conflict and mismanagement.
However, if one of the partners want to quit, there may be difficulty reaching agreement about selling the business.

If you find a good partner in a share business, then it will definitely help your business grow a lot. But there are advantages and disadvantages here, which you have mentioned are certainly true and effective. If you have a partner, you will get financial support, you can make a good plan together and you can share the efforts. But the disadvantage is that you will get less profit because the profit has to be shared. Again, if your partner is not honest, it will affect your business, which can break the structure of your business. Again, if your partner suddenly sells his shares, then it will be very difficult to adapt everything with the new partner. So, doing business with a partner has its advantages as well as disadvantages. You have to think everything carefully before starting a business with a partner.

Before partnership can be effected, there should be a detailed agreement between the parties involved on how profit is to be shared, what is going to be the responsibility of every person involved in that partnership as well as details regarding how the business is to be run with a legal representative being brought into the picture depending on the strength of the business. if you set proper structure in place, there is going to be more of the good side of partnership rather than the bad side of it.

there are businesses that are currently doing well that are built under partnership. the fear is always that people can change which is quite understandable but at the same time, if you start up business with a partner that is up and running, that can be the beginning of big venture for you. partnership helps in the bringing together of not just financial resources but also ideas and individual strength and experiences together which helps and makes it easy to run the business far more than a single person can handle.

When two like minded people with separate skills joining as a team to run a business will have much better chance of winning because more mind brings in more knowledge to the table and managing it in the tough times can be easier and it can also work for small scale business too as long as you can be sure the partner is having the same vision as you, if not then thing can take a you turn.

In this modern day, before going into partnership one need to be very clear with definition of terms so that everyone will know their responsibilities, obligations and reward percentage at the end of the day. If people were having problems with partnership deals in the past, such challenges shouldn't be that much today as the world has advanced more than it was many years ago. Don't enter into any  blind partnerships were you don't know what is required of you and what you stand to gain at the end of the day. Don't make the agreements on you partner alone without an attorney to both parties.

I faced this situation. I myself started a small business with two friends, it was going very well in the beginning because the work was being shared and the expenses were also reduced. But the problem started when there was disagreement over the decisions, because nothing was written down in advance. There was confusion about the profit calculation, who invested how much, who was working how much. Because at first we started the business by blaming ourselves. So from my experience, before entering into a partnership, all the rules should be written down as clearly as possible. Otherwise, it also affects the relationship. Definitely sign a stamp paper. If your friend gets upset about it, there is no problem.

I believe that before going into a partnership business it should be with someone that you trust in order to avoid problems in the future. Also, how much that Mr A bring will determine his share of profit, all these will be discussed and come into agreement.

Decision taking, roles and responsibilities will be discussed so that everyone knows his limit in the business. Provided that both parties have the samw goal and knowledge of the business, it will flourish.

The thing is that they might achieve success for the first place the started the business or the teamwork but it is obvious that they must have a crash whereby one person will like to oversmart another in order to have more benefits

So this have been always the problem of a joint business from unknown through parties who come together to work as a team, so anyone who you want to partner with in business you have to know the person 85% character before you collaborate with the person

Because I've seen a joint business between two parties and another killed the order because of the business growed or expand much and the other person want to profit in all, so that is one of the disadvantages of partnership...one most trade with caution.

Partners are sometimes essential to launch and grow a business, however much certain people think they can go it alone. It can be a heavy burden to launch a business and you often have to become a jack of all trades, so if you can find someone genuine that is able to wear some of the hats, then you should definitely consider giving them a cut - all the way up to 50/50 if they have immense value. The most dangerous thing for a hard working entrepreneur can be a bad partner though, as you can end up putting all the effort in while someone else simply leaches off the fruits of that labor at the end of it. Even close friends can fall apart in this sort of situation and resentment can fester if one side things that the others are not working or adding enough value.

Everything has its advantages and disadvantages. Just as in partnership business, you get more hands to work with and get capital. Similarly, you have to share the profits. There will definitely be difficulties here and you have to take necessary steps for these difficulties. First of all, do not make a partner with someone with whom you do not have a good relationship for at least 3-4 years. When you have a good relationship with someone for 3-4 years, you will know about his good and bad and you will also understand whether you both have a common mind or not.

The main thing is honesty. If you have a good relationship with a person for 3-4 years, it is easy to be sure about his honesty. You can even prepare an agreement in the beginning where details about profit sharing, work and shares are written. If someone wants to sell his share, then there should also be details about how it will be done. The most important thing is the harmony of the partners. If everyone has a common mind, then any decision will be easy to take.

It's very difficult to grow without a partner, and it's even more difficult to grow with partners. As with anything, there are advantages and disadvantages. Growing a business with good partners would be much easier. Imagine multiple people working towards the same goal, even if there's only one person.

One partner fills in the gaps, or the other requires capital to grow the business, and one partner fills in the gaps and collects from the revenue. The most common problems arise during the revenue phase, or when borrowing, if your partners are virtuous, honest, and trustworthy, problems can be resolved.

Honestly, friends can be the worst business partners because you might be too scared of ruining the relationship that you end up walking on eggshells around them instead of running the business as effectively as possible. The problem also is who starts a business without writing anything down?! You need to document everything properly not only for yourselves but for registrations and such.

The risk can be minimized with proper documentation of the partnership and by overseeing all the profit loss all the time. Still the risk cannot be mitigated for sure because a person can change at any time no matter how close they are but I had seen guys who are doing well when they partnerup because they as a group can run 10 different business so even if one or 2 is not in profits the others can consolidate it here and also they can share all their responsibility but again they fized that this is how they are going to do and sticking with it.

There are some advantages and disadvantages in doing a partnership business. Considering the time, if a ordinary people wants to run a business, it will be difficult for him to establish it. Many times a person is seen to be very willing but does not have the financial back up. Again, there are some who have financial support but do not have the proper intelligence or man power. Moreover, it cannot be thought that a person will be expert in all aspects. Therefore, if there is a desire to establish a business, then definitely a partnership business can be good choice. Partnership business is not suitable for those who do not have financial and man power or lack of skills.

No problem in starting a partnership business, when there is a matter of sharing profits or other things in the business, some obstacles can arise and to avoid those obstacles, it is necessary to make a good deed. If everyone knows about the conditions and agrees to start a partnership business, then that business will survive.

Most of the things that will cause problem in business won't cause those problems if there were written agreement. In terms of partnership, there are different types of partnership and their duties on how they run the business including financial commitment and otherwise are stated  Also, the ways to terminate the partnership are all enshrined in the partnership deed, so that shouldn't be a problem. Agreements are written for the future of the business and it can be visited at anytime that the need require.

The Investopedia definition is shirking some heavy lifting by referring to it as formal arrangement. Most partnerships are just two people who underestimated how differently humans process risk, fairness, and exit timing. Interesting is that the merit you have put (pooling resources) is the same mechanism as the demerit (shared liability). It is not two distinct features. It is one aspect that can be seen across time periods. Year one: "We pooled our strengths! Third year: Why am I standing by your choices? The structure didn't change. The information did

Collaborations are successful when both parties share the same definitions of words such as profit, manageable, and success. Those definitions are the result of childhood financial trauma, risk tolerance, and being burned. And what about scaling and lifestyle business? Personal emergency, Business opportunity?

Having a written agreement with legal backing is the best way to avoid problems of sharing of profits and other financial deals that may likely arise during the course of the business the agreement will cover how the business will be operated, how the profit will be shared, who the business will continue or stop if one person decides to back out of there are no such agreements there will always be issues but having the agreement will make the partners to remain in good conduct otherwise they will visit their agreement when they want to have issues.

Looking at the economic situation now you will be able to identify some challenges affecting daily activities and one of it is finance which is the propelling force towards success, one may have the desired skill, knowledge and qualification required to esterblish a business but cannot do it because of financial handicap while others may have the money but lack the qualities required to do some so this brought about the idea of partnership.

Partnership involves coming together of two or more individuals with different qualities to esterblish a business, It is the best business strategy because it gives room for division of labour depending on the area suitable for the people involved in it and it has a lot of advantages and disadvantages also. Some of the advantages are its open structure that permits sharing of responsibilities, introduction of various skills and more capital for the potential growth of the business while the disadvantages are : delay in decision make, profit sharing by percentage, conflict generation due to misunderstanding among partners and so on

The chance of conflict is much higher in partnership than running a business your own self. I've seen partners who weren't honest and that led to destruction of the business and created some issues between both partners. So, in my eyes it's always better to start your own business by your own instead of doing any type of partnership with anyone.

Partnership is preferable in time of market crisis compared to sole proprietorship where one person takes all the losses. Also, it helps with growth  and facilitates easy contribution in fund raising for a new project or idea. The demerit includes misunderstanding one another and trust issues. That is why this has to be an easy going or a slow process when choosing who to work with on partnership.

The best form of business is sole proprietorship business, because it gives you the opportunity to do your business on your own without multiple decision unlike the partnership business. There is A lot of disadvantage in partnership business than in sole proprietorship business.
1. In partnership business, there ideas may vary and may cause disagreement.
2. There level of contribution is limited, that is some may not be contributing to ideas of the growth of the business but always want to gain profit or want an equal share from the business.
3. Personal decition may not be possible except you call for deliberation among partners.

All this and more is the reason why I don't like partnership business. The only reason I will have love it is because the shear the risk unlike sole proprietorship business that involves personal Risk, but aside that solle proprietorship business is the best.

Talking about partnership, it will be very ideal to first of all take a good look from it's positive aspect. Before a set of people will come together to work to achieve a goal, definitely there is a skill each of them can input or bring in for development and that's one of the major advantages or on this context merits of partnership.
In simple terms, it helps on the aspect of Division of Labour. With every key player of the organization having what they can offer to see that there is constant progress, they will be a very active form of contributions towards the activities of the organization.
Two heads as they say, is better than one because the knowledge the different persons hold is much better combined than just one person. I believe that is to say with more people on board, there's more to achieve.

Merits of partnership include:
1) Shared responsibility which reduces stress unlike in the sole proprietorship business where every activity is carried out only by the sole proprietor.

2) Best in decision making: Like the saying goes two good heads are better than one, partnership creates opportunities for people to bring in their diverse skills, and ideas.

3) More capital is pulled into the business.

Demerits include:
1) most times disagreements can make decision making slow and therefore taking time to execute plans.
 
2) Profit must be divided among partners thereby making each individual resources lesser than when running the business alone.
 
3) One partners mistake affects every other person in the business.

It's hard to get into partnership that you just got in as an investor. I don't recommend that if you don't know the business and people that you are investing in. It's best to do this if you have the knowledge of the people that you are entrusting your money. I've got failed partnerships and probably not going to do that again. In my case, some are new friends but there are also relatives and old friends. Still, don't get in when you have no decisive attitude because the business owners are always at the advantage there, they can adjust the profit sharing if ever you're in profit or just tells that you're about to get bankrupt and needs more funding.

Just like the merits, there will be demerits in almost any thing you see in this life, for, this is not a demerit that is even to be considered a problem and that is because there are several ways to tackle this particular demerit you have just stated one of which is to put up an agreement at the early stage of the business or there should be an MOU which the partners will abide by, in the MOU it will be stated how they are going to share profit and how they are going to share losses and in the case of a partner trying to break out, what are the conditions to be met and what such partners are entitled to, all of this will be covered in the MOU that way they will not have to struggle with all of that.

 the demerit i see that most partners struggle with most times that is not easily resolved is usually with decision and policy making in the business, there are times when partners regardless of the number of the partners will not agree on a particular decision on how the business should be run at a time probably when the business has experienced some sort of growth which may demand they make some changes which one or two other of the partners is not ready to implement, they begin to find it difficult to convince the others to taking a stance or giving consent to the new police they are hoping to implement to help the business, this has to be one serious demerit that most partners struggle with but with a one mans business he just decides and it is effected almost immedietly.

Depends on who you partner with. Many say that you should not partner with family, but which family are we talking about? I own a business with me, my wife, my dad, and my mom together and I am doing very well. All of our goals are lined up well together, and it doesn't hurt any of us.

I can't spend much time on it, but I help them with computer stuff when they need someone, like they asked me to do some excel sheet of inventory, so they wrote it down on paper like it was 19th century lol, and I made an excel out of it, took me like half an hour at most. So yeah, know who you are partnering with and you can do very well, or you can do very badly. It should be important who we are partnering with and could be amazing we partner with people who help us.

A lot of issues has really occurred between two parties on the grounds of partnership and before one can undergo that there should be some level of trust and be knowledgeable inclined on that aspects because partnership without understanding usually results to misunderstanding and arguments between both parties involved.

before now I've had this thought of partnering with someone for my business and the first attempts results made me back down on having anything doing with partnership ever again. One thing is having the right person and another is understanding each other enough cause it's two different people involved and there must be a high stance of agreement to achieve a lot.

You’ve said the most important thing in any kind of partnership, there MUST BE AN AGREEMENT, A SIGNED LEGAL DOCUMENT containing all their responsibilities and shares, every bit of every scenario must be accounted for, no room to leave things to chance. In business there’s no friend or family, business should be business don’t start one saying it’s a brother or a friend. People change and to protect your interests in case of tomorrow you need to have a signed legal document.
Partnership is a good way to grow your business but this agreement should not be verbal, it should be written and signed, this is highly important and can’t be overemphasised enough.

For me I don't see any demerit or disadvantage in having a partner in business a lot of big companies has partners in form of shareholders one single person cannot run a big successful business alone with his or her income however in some cases some set of people do it alone if you have a partner or you want to have a partner because your income cannot carry the company or business all you need to do is to have a written agreement on a lot of things for example selling the company, sharing profit all this things should be written down so to avoid issues in the future.
When you have a written agreement between you and your partner their won't be a problem in the future however whenever there's a problem it will surely go to court and when it goes to court the court will request for the written agreement and when it is being handed over the court we simply order that the written agreement should be followed as long as it is fair to both parties.

This can start out well, depending on how you establish the partnership with your partner using a specific pattern.
Partnerships do have positive and negative impacts, but they depend on the specific needs.
If you truly want to collaborate with a partner, the main thing you need to establish is an agreement, this can include a profit-sharing pattern and so on.
If an agreement isn't made at the outset, there's a risk that even if things go smoothly, someone will be disadvantaged later, especially regarding the distribution of profits.
I prefer partnerships involving the supply of goods so we don't have to share the profits because we pay upfront after the goods are supplied.

Believe me, starting a business in a partnership is never a good idea. I know that people do it only because they can't do everything alone, and on top of that, they know that if they partner up with someone, they will get 50% of the resources from the other party, making it more affordable for them to get the business started, but based on my experience and observations, it's better that you do some compromise, but start the business alone, because things might look great at the beginning, but they don't stay the same after some time.

When we are spending time with someone, even if it's done professionally, like you are spending time for the business or doing some job, the initial period seems okay, you get to know each other, you compromise on things, try to avoid problems rising, but after some time, it becomes irresistable, even if you try, you won't be able to hold yourself for long, your patience will start to get over, and that's when problems start to rise.

Whether it's about money, workload, or anything else, there will surely be arguments and fights after some time between two partners in a business. It's very rare to find two partners who are happily running a business and have nothing against each other at all.

I'm pretty sure that before people decides to become partners in any business that a written agreement must be involved.

When it comes to business partnership, you really have to know who's getting involved with you on that as some person's will not abide with the initial agreement later on and that can lead to conflict, and even put the business at risk.

A friend of mine convinced her hubby to fund a business with a friend of hers and according to her a written agreement was carried out, sighed and documented by both parties, but she later noticed something that her husband has been funding the business without any result from the other person and right now the business is now on hold. For a successful business, I think the both parties should be passionate about what they're going into, it should also be the kind of business that both persons have  much knowledge about.

Partnership is good only if both parties share same ideas and they're are very open to each other, human being is never predictable that's why most person's will decline offer of partnering with someone , have seen siblings who are together in the same business turned rivals, separation and all that.  

Well, if you know the other person enough for you to accept such offer is good because it helps to swing business ideas into actions especially if one person amongst others is financially buoyant to finance the business but the possibility of these partners abiding with the initial agreement and staying true to themselves is another thing entirely..

Yes, I agree with you about the advantages and disadvantages of partnerships. After entering into several partnerships with different people and experiencing some negative effects, I decided not to enter into any partnerships.

I completely agree with you on this point because I have experienced it specifically in all the partnerships I have formed. Partnerships begin with a lot of affection, understanding, and big dreams, but they often end in conflict and sometimes hatred between partners.

It is very good to do business as a partner if they have honesty and ideals. Some of the partners are more hardworking and some are more talented. In that case, a good position can be created in the business by combining the two. There are advantages as well as some obstacles. A person very close to me started a business on the basis of partnership. Day by day they were improving very much in the business. After getting good profits for several years, the one who had more responsibility got jealous and wanted to take the business for himself. As a result, there was a rift between them and they started their own businesses separately. However, the sad thing is that none of them could succeed in their sole business later.

I absolutely agree with the fact that candour and idealism are the ingredients that must be used in business alliances and your storey is a very lucid example of risks of forgetfulness of the said items. When the revenues begin to run high, there is always a desire to feel ownership to the success due to the increased efforts of operations made without really taking into consideration the essential contributions of talents and vision of the other partners.

The division on the grounds of an offended partner that wants to be put in charge proves incompetence to value the collective good, they lose the memory that it is the ecosystem they built that makes their business grow. Even their personal failures prove the effectiveness of an emotional input that is the basis of initial success.

For me, the risks involved with partnership far outweigh the benefits. I'd rather go for sole proprietorship than partnership. Run the business yourself, operate it yourself, and you're free from toxic conflicts between co-owners that happen all the time.

Bright minds, brilliant ideas, innovative proposals, and the like? Hire the right people and pay them well. Let them speak their minds. Nurture brainstorming in the team. You could get it from the people you're paying. You can fire them right away if there's too much friction. That way, the business runs smoothly. It doesn't have to suffer because of disagreements.

I've had experience running a partnership without a written agreement, and it ultimately soured after the business name became well-known, even though we thought everything was well-planned and well-thought-out. I wouldn't say there was any selfishness between us. Even if it's not a multi-million dollar business, a fair partnership is based on a written agreement, especially if the partners are close friends.

What you said is good, and it definitely holds true. It's like in a business there can't be one without teamwork, and there can't be teamwork without a team.
In short, if the teamwork is good, that means the group effort they're making is also good.

And if this is what happens, you can expect a good result for the business. In this scenario, it's impossible for the business not to grow,
and its only direction is surely toward a success journey, right?

Since this is a crypto platform, the word partnership should not be pointed to running a business only, how about talking about crypto and partners? Do you know how many startup projects that partnered with big names in crypto space like Binance and Coinbase? They still rug pulled their investors not too long ago.

In this wild West, trust partnership at your own risk, the lack of getting developers arrested have make partnerships not the first priority anymore, developers can show their faces to the public, raised millions of dollars and still rug pulled without returning a penny, years back when a project have a problem and can no longer proceed they refund investors funds, today not so anymore.

The only thing good from partnership is on the company, business or project, as for customers or consumers or investors, they are on their own, the risk of still losing money stands, that partnership thing benefits the owners as they will be able to raise tons of money.

Businesses need team as long as it is not some small household business where you manufacture basic commodities and sell them locally or online. Even a medium scale business needs a strong team and without them, business remains just as an idea with no implementation. Businesses are difficult to scale and a single brain can't handle all the operations. We will always need people on our team who we can count upon.

It is not always necessary to look for partners in this case. We can always hire a team and put them on monthly payroll right? This will make us the owner of complete profits but will also come with it's own demerits like paying fixed salaries each month even if there is loses incurred.

The merit of working with a good partner outweighs the disadvantage you listed. Profit will grow if you have qualified partners. With their positive inputs, the business will run smoothly and be more profitable than when it is managed by one person. Businesses like Apple, Microsoft and others might not have gotten global recognition without the right partners.

But the wrong partnership could also be devastating. When you have partners who don't share the same vision with you,  it will lead to business failure. It is also good to state that a business partnership shouldn't be started informally. There should be a legal document prepared by a lawyer which contains comprehensive rules, roles and other essential information that will guide the partnership.

This is why it's very necessary to involve a good lawyer and put everything on paper and signed by both parties. Partnership is not just a practice of waking up one day and tell someone to join you in your business just like that. There are rules draft down and agreed by both parties before starting the business. This rules cover virtually everything including percentage of capital to be provided by each party involved, the profits sharing formula, the maintenance cost and responsibility and of course, the termination of contract in case one party or both parties are not longer interested. The law is aware of this through a lawyer choose by the partners in business, there is no suppose to be misunderstanding breaking part from the business because this agreement was reached even before the start of the business. Partnership is a good practice of a business but I don't fancy it idea for some personal reasons at the moment.

Most people I have always meet doing partnership are those that new each other's very well, if there should be a very important step before going official in partnership is knowing each other's for at least couple of years and not only knowing but has also done a couple transaction with each others because those are the things someone would put together to believe that there money is save in the hands of the person. The idea why I include doing a couple transaction with the person before any form of engagement is that sometimes people claim to no someone very well because of the years they have been friends but doesn't no that the person is the type that doesn't consider friendship in terms of taking the person's money so actually this is something the both parties should no about themselves.

You are right about familiarity with the person you want to partner in a business but we are humans, people can build trust for years and still breach the trust. Over all, in a business partnership, both parties must come to an understanding in form of writing (agreement) which will guide them while running a business and people should understand that no matter how good, related and friendly someone is, when it has to involve a business an agreement should be reach so that both parties do not deviate from their primary aim. They must agree on things like the sharing formular, how long they intend to partner with each other and how they are going to fund the business from time to time. If all these are done i don't think that any problem will emanate but if any of the party wants to deviate from the terms of the business, they can be sued for breach of contract.

Merit and demeit of patnership is depending on the Kind  and scale of Busines.To start a large scale business , it requires highly trained patners, creative ideas and skill experience, large funding raw materials on large scale. For this situation patnership is ideal. If all sharer bound in an strong agreement of thier profit or loss the situation may b pleased for both the patners or for the economic of respective country.
On the contrary, if you are thinking to start business on small scale here patnership may not effective. Because mostly untrained, people are involved that brings results not in the interst of the business. Every patners at the time of profit or loss feels not good. As patners have low funds in the case of facing loss conflict arise. So i think  merit and demerit depends upon the type of the business small or large scale.

The only partnership between two companies that I find more swift is digital crypto integration companies, where other dex is integrated with other platforms for transactions, or payment platform is integrated into a digital marketplace for buying products. For example, moonpay is joined to Amazon, where some percentage is agreed to be shared by the two companies and are done automatically whenever a customer completes a transaction.

Such partnership agreement hardly had problems because it's an automated system where transactions are transparent, another no room for any cheating or manipulation.

Business doesn't work by knowing each other or people that share some relationship, study has shown that people that are close to each always have more numbers of failed business than people that doesn't even know each other and the reason is because they trusted each other that end up without a business contract. Many businesses that started without contract doesn't end well, the best way to have a successful business with a partner is having an agree paper work to avoid future fight between the two parties.

Uncertain death has led to the collapse of a business because the other parties want their fair share of the business since the deceased person isn't longer alive while the one party want the business to continue buy because there was no formal agreements between the two of them before his demise, they court has to give an order for the remaining person to settled them for period of months, had it been there was a legal document between them, there is no way the money will be forcefully paid.

That is one of the important things, but in my opinion, the most important thing in a partnership is the benefits that can be obtained by both parties. So, in everything we do before entering into a partnership, we must look at the quality to get benefits from partners and vice versa. Financial matters can be done with transparency and also with clear legal regulations.

That's why you should be very careful while choosing your partner. Your partner and you will shape the future of business. A good partnership can make you earn millions but a bad partnership will make those earned millions worthless as you will end up in fights and various law suites to claim ownership of those profits. Choosing a partner will be a crucial step here. This is true that you can't run a business all by yourself. you do need someone who can help and fulfil several business requirements which might include better connections or skills required to run a business.

You should mostly avoid being in a partnership with your friends or family as in most of the cases it does not end well. Instead look for a qualified partner elsewhere who really have those skills and dedication to make your business grow.

You are referring to the part of employing someone to manage there business that usually doesn't go well with family or even friends but that's not what this content is emphasizing on. Could you go into a partnership with someone you just met today?, we need to be realistic and see things from how it has often occurs to people who took the risk, perhaps I guess everybody knows there proper way they could go into partnership. The contract is good on this kind of business because without it is like there was no partnership from the beginning because there is nothing any of them could present as proof if disagreement occurs. From this story you shared perhaps if they had agreed on something definitely after the deceased his portion of the business will be willed to his relatives.

In business, partnerships can be important, but on the other hand, they can also be a blunder when we fail to do the basics, such as choosing the wrong partner and not taking preventive measures from the outset, such as agreements and other matters related to the business.

This is important because we know that the initial steps form the foundation for the sustainability of our business. If we make mistakes from the start, it will become increasingly difficult in the future and will actually cause our business to decline.
If we are still capable of standing on our own, we may be able to remain independent. However, in business, I believe we cannot operate alone, especially as our business grows. We need partners who truly understand and align with the vision we aim to achieve in the business we are running.

Anyone who want to indulge into a partnership should look for the advantages and disadvantages that might occur on the process because each partnership have expiring date and then when it is expired that will be occurrence of different things such as greediness, so before a partnership in anything that you are doing you need to understand the person that you want to partner with except to that but of you will end up in court

Let me say that individual thing is more beneficiary than went to bodies come together with a finance to facilitate a project as a one brand, that always cause a future segregation so we need to understand that before we go into partnership knowing that one person must to cheat one at the end of everything

Agreement involving papers is never enough in such situation obviously conflict can happen at any time, the court do state reasons and consequences whenever both parties face disagreement. If both parties pass through a legal means then they’ll have to divide the business according to the paper each person will take their different share while we say 50/50 is most common partners sometimes do sign 70/30 depending on the agreement. I’m sharing my thought base on what I have seen, this is nothing new no doubt partnership can be seen as a bad decision but, without the money how can the business function viewing both the funds and idea are needed.

It's always harder for a business to operate and stand on it own without any external partnership. These partnership usually focus on the visibility and awareness aspect than anything that's why most of gambling partners with celebrities for more awareness and visibility.

Doing this gives them more customers who willingly patronize them.

yeah i am in a joint LLC

can’t convince my partner to close up the business and can’t convince him to buy me out.

its a problem for me. as I am older and do not want to do the business anymore.

I advise anyone going into a partnership to have a proper exit clause.

Even when you do that, do you think "after the fact" is enough? Let's assume that there are two people, they partner and build a business, one side embezzles money from the company and the other doesn't realize this for two years. That guy buys himself a Ferrari, goes to vacations in Hawaii, and basically just lives a great life.

Meanwhile other partner doesn't understand how that can happen when they make same money. So eventually he understands and sues and lawyers gets involved, and you have an ironclad deal, so the bad one is caught and jailed. Then what? Partner is gone, money is gone, you gain nothing back. Whatever happened happened and you are all alone with no money back to you. That's why partners are always a risk.

These are the main pros and cons of the partnership but many see them coming before they even do it, so if they think they can work with this they do it and take the chances and they also have to think what to do when this will happen, like when they have a fight with their partner, or the partner wants to leave or the partner is not cooperating.

Things like these have to be predicted before and the solution and the things should be kept managed too. Never open yourself completely in the partnership and don't take anything for granted, keep record of everything.

Partnership is vital Especially in businesses and professional organization.The success attained depends on the collective efforts and outcomes from both ends.A lot of businesses Excel because of the capacity of partnership;partnership is powerful when there’s mutual trust,transparency, and aligned vision but risky when poor communication,or unequal effort enters the union.

Can you run a business by yourself? So do it. The less you are dependant on others, the better.

However, if for some reason you need to start a partnership, you have to be prepared to work on the double if necessary, in case your partner starts neglecting his duties... If you already start the partnership aware of the potential issues, you will be stronger once you have to face them, because you are mentally prepared for that, without expecting anything in counterpart from your partner.

If they manage working efficiently, as promised, very good. But in negative case, it will be bearable too. Just have a Plan B in mind, so you won't remain being abused forever by an incompetent or lazy partner.

Partnership business has one of these merit I will see from my angle of view as versatile share of idea help to grow the business with such collaboration especially business where feasibility study and many research is needed to to get the rightful result engaging with other partners make it more fruitful enlarged the span of the business. The share of "risk " such business really reduce the losses of the personnel as any  risk is share but the inevitable problem of this joint business is the sharing formula when the business is making profit beyond measure some may dare to breached the agreement, another demerit is the manpower some may slack while the one with deep heart to push the business will suffer to uphold the business standing, though in well structure partnership a division of labour is necessary to make the business functions properly but where one begin to fail not to do it parts the business is liable to collapse. In my opinion it's not bad neither too good all depends on individual, it works for many and also failed many it's a two sided business style.

Living in a world where everything can be done transparently, involving the court and a witness before coming to an agreement. When its on paper with both parties have a piece of their agreement it becomes very difficult for anyone to go against the agreement because there is every evidence to back up the right persons claim.

To be sincere, there is no demerit of having a partner in business. Yes conflict can arise but in taking profit there is no problem there unless there was no agreement and shares distributed when they got legalized.

The basis thing is in reverse. Foundations do not predetermine results. When pressure is applied, they tell us what will break first

That's why some partnerships with perfectly drafted agreements have turned south over unspoken assumptions of work ethic. And I've seen handshake deals of like people who didn't really know each other surviving by virtue of having a compatible damage response under stress. These basics you speak of are important, but not preventive medicine

So what does predict partnership survival? Overlapping definitions of failure. Not success - failure. Since things always go wrong (and they will), you require someone who panics like you do. Incompatible fear structures destroy more relationships than incompatible visions

The argument of growth is interesting. You are right that complexity eventually requires distribution. However, there is a threshold question, which is, are you adding partners because it is really necessary to do the work, or because you have internalized that real businesses have teams? A lot of forced scaling is status anxiety couched in terms of strategy

Independence should be based on whether you tolerate being the single point of failure. That clear up to some people. Others find it paralyzing. Neither is wrong, just different nervous systems taking up the same economic reality

Some partnership businesses have suffered due to disagreement. Let's say you discovered a profitable business that would improve the financial state of your company. But your partner refused to allow the company to invest in it. This would be a big problem that might lead to forfeiting this viable business or ending the partnership. A fraudulent partner can also cause more harm than good. So the assumption that partnership have no disadvantage might not be true.

Then you should know that the world which we are living now, their is no longer transparency, most people are now finding a way to take advantage of other, so I don’t always encourage people to partnership when it comes to business, I have seen two friends turn enemy just because of money. Whenever it comes to money, even people you call your family and friends might end up disappointing you.

You saying if conflicts arises their is no problem, but have you seen when business partners try to kill each other just because of money, they set trap for each other so that if anything happens to one person, then the other person will want to take over the business. I disagree with you that partnership doesn’t have demerits. When the business is still early, everything might be going well, and you won’t see the demerit, but after the business has been fully established, that’s when you going to start seeing different things come up.

Partnership in business has always created more problems than it should mostly when success has been attained and it is the way forward that remains.
Even brothers would fight not to talk of two strangers who became friends and went into business together.

The best way a partnership can thrive for long is if there are documents signed by all parties to be good despite any challenges and there is or are matured legal hands on deck when the tension gets heightened or tempers flare.

In many cases, we see partners going different ways not because they don't agree anymore but because of a higher calling or because they suddenly saw a better idea in another business they have always wanted to do or the thoughts just came and it is brilliant.

I believe partnerships are always bad, except in those very rare exceptional cases when partners are absolute brothers. And these brothers shouldn't be like the Trump brothers, who were constantly competing with each other, leading one brother to be completely marginalized. But brothers like the Winklevoss brothers, who respect each other deeply and would never betray each other.
All other cases of partnership, both with friends and brothers, and with strangers, are considered by me to be unsuccessful experiments from the start.

The essence of having a partner is not just to contribute money to start up a business you also bring business ideas that will generate profit in the business if you guys invest in it so in this cause if your partner doesn't support a business that would have given the company a good profit there's no need of keeping him as a partner because he doesn't want growth in the business. Having a fraudulent person as a partner is a no no for me when I discover it is better to do things alone than having someone that will destroy everything you guys have worked for due to his dubious characters. It is wide you know your partner very well before involving in a partnership kind of businesses it will will save you the loss and mental stress.

Sooner or later, we all learn that every coin has two sides, and every truth has two faces... And what now? What does "Investopedia" say about that? What's next? Well, nobody can tell you that... you need to try and find out.

There are a lot of good & bad stories about "partnerships". But what your story and experience will be depends on your knowledge & skills at that moment and under those circumstances. Of course, many other factors will contribute to your success or failure, but it's foolish to talk about those factors without knowing the complete background.

I personally never suggest doing business in partnership, as this breaks your relationship with your loved ones. People will never be delighted with the result, no matter how much effort you put in or how dedicated you are. If you manage the business and anything bad happens, your partner will always end up blaming you. Of course, there are also some positive aspects. However, I don't want to ruin my relationship with my friends over a business matter.

There are numerous examples where partners relied too heavily on each other and ultimately betrayed one another. Additionally, there are instances where the partner remained honest, but the other partner blamed them. To avoid these issues, it is best to avoid partnering with people for a business.

Anything that has good advantages cannot be said that it won't have any disadvantage although the disadvantage can be very minimal but it is still there and it can escalate if the pertners are not proactive. There is strength in number and if like minds come together to achieve something it will be more effective than what only an individual or a sole proprietor can do. Before going into a partnership business there is need to have a comprehensive partnership deed, it is an agreement on how their business should be run and profit lose sharing formula. The partnership deed should be a legal document that is prepared by a lawyer on behalf of the partners, if such a legalized agreement is reached it will difficult for any partner to deviate from their agreement.

With this kind of partnership that you describe OP, I don't think the Sharing formula in terms of profit should cause any problem, I believe investors should share profit in the percentage to which they invested, so if somebody brings 60% of the entire capital that was used for the business, the other partners should collect 40%, because if there is losses, the person with the highest percentage in investment will get affected more, so I don't see any reason why he should not get his profit if the business goes successful.

I completely understand what you mean, partnership really gets complicated sometimes, especially when it involves friends and relatives. Because we have always seen that many good relationships are ruined just because of money. But I think it completely depends on ourselves, if the partners themselves are okay then such a problem should not arise. If both of them keep a proper record of all their expenses and how much money they have earned from the business from the beginning, then I don't think there is a problem. Because I myself do partnership business. Actually, if you have faith in each other, you can also be successful in partnership business.

It's true that partnership business has its merits and demerits like other kind of businesses. The major merits is burden of the capital for the business,  which is one of the reasons why most people go into partnership. Why the demerits includes profit sharing, not easy to make decisions etc. I think before anyone goes into a partnership business with another person, they need to spell everything out, from how to share the profit, what each them has to contribute, responsibilities of each partner and how decisions needs to be made.  If this is spelled out from the beginning and documented, it's really going to make it easy for each partner and it will reduce a lot of issues in the business.

A partnership business needs a lot of cooperations between the two parties. They must be ready to share their losses and also share their profits equally. The problem with partnership business is trust for one another, if that can be created for a longer time as long as the business exists, then it is very much likely that the business will last a long term. Time management is another important task that needs not be joked with by any business venture, joking with it means risking your business which may lead to overall failure of the business.

Partnerships are excellent, and I recommend them for significantly better business growth. Speaking of potential downsides, this depends on the initial agreement signed. There should be a partnership contract that covers many aspects of the partnership, including liability for losses, profit sharing, and ownership stakes. This should be clearly spelled out from the outset to ensure a sound foundation for your partnership and avoid conflict. This also includes how to make decisions about the steps to develop your business. This requires agreement with your partners. However, partner involvement can be limited by the agreement. This depends on how you calculate it. Partners have various specifications and services. Some offer profit sharing, while others require payment according to the contract for each partnership.

So, if you're looking to start, don't be afraid of the future, prepare for the worst-case scenario to avoid conflict.

Going into partnership in a business is not a bad idea,when both parties have an idea of what they are going into together.but before any thing starts up there need to be an agreement writing down for both parties to no there boundaries in the business.to set policies,rule and regulations to guide the business that should be the first step to be taking.then efforts the person investing more into the business.percentage profits should be known how to be share from the start of the initial agreement.bills to be paided percentage from both parties.if a concrete agreement is been made,the merit and demerit won't be a problem at all because every thing has be started from the start.

This is when each partner clearly understands their role and carry them out effectively without encroaching into the next person. Partnership happens to be one of the best ways to grow a business faster, but it only works well when both parties respect boundaries and maintain transparency. Once ego or lack of communication sets in, it usually leads to conflict. A successful partnership thrives on trust, defined responsibilities, and shared vision  when everyone stays committed to their part, the business runs smoothly and becomes stronger than any individual effort.

Partnerships in business didn't just appear out of nowhere; they are part of a long evolution. Entrepreneurship evolved from lone artisans to guilds, then to joint-stock companies, which paved the way for multinational corporations.

However, the rise of the crypto market has changed the game. It's now much easier for solo founders to raise capital for their ideas. Instead of taking on partners and navigating those complex relationships, they can often just hire staff.

The next stage of this evolution is already here: AI agents. They can handle many of the tasks of hired personnel. So maybe someday, partners themselves will be replaced by androids with brains from OpenAI?

Making a partnership must consider the agreement that they want. Partnership should think about the profit that they want to make so they will create many businesses plan and make sure their business run. Partnership means they manage the business together so they can work together and see the business grow.

But that will not be as easy as they think because it is about two heads that will have different ideas. So it needs to be discussed further so they can have an agreement and start the business.

There's no business without a memorandum of understanding most especially when it comes to do with partnership in business where two or three persons are involved. interms of profit making they come together to consider what and where to invest in business because the higher they invest, the higher their profit making that is business for you but one factor affecting this partnership in business is since they are different individual with different capacities; it weaking the others when trying to equate themselves to the weaker one their by leading to business downfall.

I totally agree with that. Businesses started in partnerships have more cons than pros, and the cons can easily overshadow the pros in this case. The only pro that I can think of about partnering up with someone for a business is that it allows you to have a 50% share in both, the capital and the workload that you will have to manage alone otherwise, but still, I think it's not worth it, if you can afford to start a business or your own, don't look for partners only because you want to split the workload because things won't end well.

Having friends or relatives as partners is the worst idea, but even having strangers or other businessmen as partners is also a bad idea. When you start a business with someone else, you can't do whatever you want with the business, because now there are two brains, two owners, two decisions and mindsets, and believe me, even if you try your best, there will be conflicts at one point, and those conflicts will ruin the whole business. So, it's not worth it, at all. :)

Exactly, the productivity and innovation in the partnership business will be a lot better compared to an individual since the mind is only capable of so much but when we add 2x the results will definitely be higher than 1x. But finding the right partner itself a biggest task and in reality it is very hard to trust anyone unless we have complete knowledge about the other person or it's just better to take the whole risk and even if the profits are lesser we can be sure that no one is making any mistak here.

I personally hate mental stress. If you partner with friends or relatives and something goes wrong in your business, you will be stressed. If you start to suspect that your friend or relatives are doing something wrong with the company, it won't be easy for you to ask them about it. The same applies when you operate the company, and your partner starts to suspect you of doing shady things. If you are innocent, it will be hard for you to explain that you are innocent.

It isn't really worth the stress. Yet again, I am planning something, and some of my friends want to join my business. Sometimes it is hard to refuse them because it may destroy the relationship between us. Sometimes, you will find yourself in a situation that will leave you confused.

Partnership in business is one thing that is good as it has lead to the setting up of many business which has created a source of employment and led to the realization of dreams and goals.partnership business is actually a healthy because the burden of running a business will be shared by the two parties.


One thing that brings disagreement in partnership is when the two parties are greedy and wants the profit to themselves.but if the parties involved are sincere I don't see anything wrong with partnership business.