Partnership Deed for Service-Based vs. Product-Based Businesses
Partnership Deed for Service-Based vs. Product-Based Businesses A Partnership Deed is a crucial document that defines the terms and conditions of a partnership firm. Whether you are setting up a service-based business (like consultancy, IT services, or legal firms) or a product-based business (like manufacturing, retail, or trading), the clauses in your partnership deed need to be carefully drafted to suit your business model. In this post, we will explore the key differences in partnership deeds for service-based and product-based businesses , helping entrepreneurs in Rajasthan and across India draft effective agreements. What is a Partnership Deed? A Partnership Deed is a written legal document that outlines the rights, responsibilities, and obligations of partners in a business. It helps prevent disputes and ensures smooth operations. Why is a Partnership Deed Important? Defines roles and responsibilities of partners Specifies profit-sharing ratios Reduces conflicts and legal co...