Do you want to sell your own share of a partnership? If YES, here are verified steps to take to sell your share of a partnership in 2023. Selling your own share of a partnership can be quite straightforward, especially from an accounting standpoint, as long as the partners have a buyout agreement and the person…
Going into a business with a friend is like alchemy. If the recipe is nice and the ingredients augur well with each other, the thing may just pan out. If not, you risk ruining your friendship and burning the business to the ground. Businesses co-founded by friends have mixed success at best. Some manage to…
A partnership is a form of business where two or more people share ownership, as well as the responsibility for managing the company and the income or losses the business generates. That income is paid to partners, who then claim it on their personal tax returns – the business is not taxed separately, as corporations…
Do you intend forming a General Partnership business in the United States of America and have no idea on what to do? You have come to the right place. In this article, we will be sharing a step-by-step guide on forming a general partnership company in the United States of America. However, before we get…
Do you intend forming a Limited Partnership business in the United States of America and have no idea on what to do? You have come to the right place. In this article, we will be sharing a step-by-step guide on forming a limited partnership company in the United States of America. However, before we get…
A Limited Partnership (LP) is a form of business partnership that is similar to a general partnership except that while a general partnership must have at least two general partners (GPs), a limited partnership must have at least one GP and at least one limited partner. Limited partnerships are distinct from limited liability partnerships, in…
Yes and No. Normally, the losses of a limited partnership are passed directly to the limited partners who can use the losses to offset other passive income. If they have more passive losses than passive income, the losses can be carried forward. When a partner or an individual receives a Schedule K – 1 from…
Yes, a Limited Partnership can be held in an IRA in the United States. An individual retirement account, or IRA, is allowed to invest retirement income so that it grows by the time you are ready to retire. An IRA may invest in a partnership, becoming a limited partner. The partnership then pays dividends directly…
Are you about starting a business and want to use a general partnership entity? If YES, here are 10 pros and cons of forming a general partnership. There are no formalities for a business relationship to become a general partnership. It simply means you don’t have to have anything in writing for a partnership to…
Partners are personally responsible for the business obligations of the partnership. It also means that if the partnership fails, the partners are individually responsible to pay for the debts and creditors can go after personal assets such as bank accounts, cars, and even homes. For instance, if the partnership dissolves and there are still outstanding…
Do you have a partner claiming embezzlement and theft? If YES, here are 8 strategies you can apply to deal and fight-off embezzlement claims. A business partner does not have to be your best friend, but choosing someone as a partner when forming a company requires a high level of trust. If any business partner…
Do you want to know how profits & losses are shared in the absence of a limited partnership agreement? If YES, here are 4 best sharing formula. It is common knowledge that a partnership is a kind of business arrangement where two or more persons work together and distribute among themselves all profits and losses….
Do you own a business in Pennsylvania and want to close down due to debt or other reasons? If YES, here is a 8-step guide on how to dissolve an LLC in Pennsylvania. Dissolving a partnership is an official process of permanently closing your business cum partnership. Even though filing the dissolution documentation with the…
Do you want to change your business entity from partnership to sole proprietor? If YES, here are 11 steps on how to change partnership to sole proprietorship. It is not out of place to start your business as a partnership business whether general partnership or limited partnership, but there will come a time that the…
Do you need a business partner? If YES, here is an 8-step guide on how to write a business partnership proposal that gets the money or collaboration you want. Indeed starting and managing your own business can be daunting, especially if you are trying to do everything by yourself. There are times when partners will…
Do you want to breakup a partnership but lack the know-how? If YES, here are 4 different ways you can get out of a business partnership with minimal losses. A business partnership can be a wonderful opportunity—varying skills, someone to help generate ideas and strategies, and of course, shared risk. But also note that with…
Do you want to know the best legal structure for business? If YES, here is a comparison between a sole proprietorship vs LLC vs corporation vs partnership. Choosing a legal structure for your business is one of the first decisions you have to make when you want to start a new enterprise. You have the…