Sample Business Agreement
Sample Business Agreement
This Business Agreement (the "Agreement") is made and entered into on this August 30, 2050, by and between [Your Name], residing at [Your Company Address], and John Doe, residing at 456 Oak Avenue, Springfield, Anytown, USA, 67890 (collectively referred to as the "Partners").
I. FORMATION OF PARTNERSHIP
1.1 Both Parties hereby confirm and agree to establish a partnership (the "Partnership") under the name of JD Ventures. The purpose of the Partnership is to engage in and conduct any lawful act or activity for which partnerships may be organized under applicable law.
II. DURATION OF PARTNERSHIP
2.1 This Agreement shall commence on August 30, 2050, and shall continue in full force until terminated by mutual agreement of the Partners or by operation of law.
III. CAPITAL CONTRIBUTION
3.1 In accordance with the agreed terms, each of the partners will be required to make an initial capital contribution to the Partnership. The requirements and allocation of this contribution will be determined and implemented as follows:
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[Your Name]'s initial contribution: $50,000 in cash, to be deposited into the Partnership's bank account within 10 days of the Effective Date.
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John Doe's initial contribution: Equipment with a fair market value of $50,000, to be used in the operations of the Partnership.
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Additional contributions, if any, shall be made in accordance with the terms agreed upon by the Partners.
IV. PROFIT AND LOSS DISTRIBUTION
4.1 If there comes a time when across the Partnership a unanimous decision cannot be reached wherein the Partners agree to take a different course of action, then it stands that any net profits or losses which the Partnership acquires, accumulates, or amasses over a certain period of time will be split in an equitable manner.
This means that the profits or losses will be divided in such a way that each of the Partners will be given an equal share. No Partner will receive a larger portion than any other, maintaining a balance and equal distribution across the board.
V. MANAGEMENT AND CONTROL
5.1 Every Partner involved in this Partnership is granted an equal right to contribute in managing the partnership. Furthermore, these Partners are expected to commit a reasonable amount of time to handle the affairs of the Partnership as deemed necessary.
5.2 In accordance with the functioning of the Partnership, any major decisions that have the potential to significantly impact the state or operations of the Partnership ought to be made collectively, with all Partners expressing agreement via a unanimous vote.
Ordinary decisions inherent to the routine day-to-day management and operations of the Partnership, however, do not require unanimous agreement but instead can be decided based on the voting preference of the majority of the Partners.
VI. TRANSFER OF PARTNERSHIP INTEREST
6.1 In the mutually beneficial arrangement known as a partnership, each participating party should distinctly own a set of responsibilities and tasks, demonstrating a sense of commitment to the shared venture.
Such commitment is demonstrated by each partner's interest, which is a defined and quantifiable contribution to the partnership. Ensuring the stability and integrity of the partnership requires that this interest remains vested with the partner to whom it has been attributed.
As a principle, a partner is not permitted under any circumstances, to transfer, assign, or even dispose of their defined interest in the partnership in any manner. This rule holds true unless the other participating partner has provided explicit written agreement in favor of such a practice.
Obtaining this written consent is a necessary prerequisite to the process of interest transferal or change. The mutual exchange and understanding between partners extend to the preservation of their partnership interest, which must be defended, shielded, and kept immune from third-party interference or unexpected variations at all times.
The persistence of this protection is a fundamental rule, and no alterations to this may be carried out unless the other partner approves and substantiates such changes in a written format. This guarantees both the stability and continuity of the partnership as agreed upon by both parties.
VII. RESOLUTION OF DISPUTES
7.1 Should any disagreements or conflicts occur under or with relation to this Agreement, the appropriate resolution method shall be arbitration or mediation. This process will be conducted as per the guidelines and rules set forth by the American Arbitration Association (AAA).
7.2 The arbitration or mediation proceedings shall be executed by an individual serving as the sole arbitrator or mediator. The selection of this arbitrator or mediator shall be made via a mutual agreement reached between the Parties involved.
If, for some reason, the Parties fail to come to a consensus regarding the choice of arbitrator or mediator, then the task of appointing the said arbitrator or mediator shall fall to the American Arbitration Association (AAA).
7.3 The decision that is arrived at by the individual serving in the capacity of arbitrator or mediator will stand as the final judgment, binding all parties involved. If this decision needs to be enforced, it can be registered, recognized, and executed as a judgment in any court that boasts of having competent jurisdiction over such matters.
VIII. TERMINATION
8.1 This Agreement may be terminated by mutual agreement of the Partners or in accordance with any of the terms and conditions specified within this Agreement.
IN WITNESS WHEREOF, the Partners have executed this Agreement as of the date first above written.
[Your Name]
[Your Company Name]
August 30, 2050
John Doe
JD Ventures
August 30, 2050
