Learn what a business partnership is and why they're important.
Partnerships are a form of carrying on business. Partnerships (and their legal elements) vary from jurisdiction to jurisdiction.
Generally, a partnership is described as two or more legal persons that enter into a business venture together with a view to profit.
Unlike corporations, which are separate legal persons from their shareholders, partnerships are not separate legal entities or separate legal persons from the partners. This has consequences in the tax, governance, ongoing existence and capitalization of partnerships.
Here are some differences between partnerships and corporations:
There are many forms of partnerships that exist, some of the most common forms of partnerships being: