Most partnerships (unlike limited liability partnerships), are governed by 19th century legislation. Without a formal partnership agreement the business will be subject to the Partnership Act 1890. Without a good understanding of this legislation, it is all to easy to overlook a key provision and this can lead to expensive, unwieldy and unexpected outcomes e.g. when a partner wishes to leave the partnership or the partners wish to expel a partner.
Whether you require initial advice on setting up a new partnership, drawing up an agreement of formalised terms agreed between partners, varying an existing agreement e.g. in light of a change in the business’ direction or changes in the partners themselves, we are here to help. We are also experienced in dealing with more specialised or regulated partnership arrangements including those relating to GP practices and other medical partnerships.
In all cases, we will work with you to ensure you have the right structure and documents in place for your business’ needs. Any agreement we produce will reflect both the partners’ wishes and the legal framework. Just as importantly the agreement will be in straight forward language and will actually work for your business. A well-drawn up partnership agreement reduces chances of disagreement between partners and governs the management of the business and the departure of partners. Not all businesses are the same and therefore not all partnership agreements are the same.
It is important to review your agreement on a regular basis as your business grows and develops to ensure that the documents continue to reflect the partners’ wishes. We can offer advice on planning for the future of the partnership through growth of the business and appointment of new partners, and help to structure your partnership to avoid future problems as far as possible including those involving the expulsion or removal of a partner or the dissolution of the partnership by working with you to draw up a strategy that minimises the potential of litigation and documents your plans for the business in order to reduce costs and time away from business.
Howlett Clarke is the first port of call for many successful businesses across Brighton, Hove and Sussex. To find out how one of our specialist team of solicitors can support your partnership needs, call us on 01273 838 756 or email us at email@example.com