Business Partnership Agreement Layout
Business Partnership Agreement Layout
1. Title Page
Title: (Label the document as "Business Partnership Agreement.")
Date of Agreement: (Specify the date the agreement is executed.)
Names and Addresses of Partners: (Include the full legal names and addresses of all partners involved.)
2. Recitals
Purpose: (Outline the partnership’s objectives and goals.)
Background: (Provide context or history that led to the formation of the partnership.)
3. Definitions
Terms: (Define key terms used throughout the agreement to ensure clarity.)
4. Formation and Structure
Partnership Name: (State the legal name of the partnership.)
Principal Place of Business: (Specify the address of the partnership’s main office.)
Term: (Indicate whether the partnership is for a fixed term or indefinite duration.)
5. Capital Contributions
Initial Contributions: (Detail the financial or asset contributions each partner is making at the outset.)
Additional Contributions: (Outline guidelines for any future contributions that may be required.)
6. Ownership and Profit Sharing
Ownership Percentages: (Define the percentage of ownership for each partner.)
Profit and Loss Distribution: (Explain how profits and losses will be allocated among partners.)
7. Management and Decision-Making
Management Structure: (Describe the roles and responsibilities of each partner in managing the partnership.)
Decision-Making: (Specify the procedures for making significant business decisions.)
8. Duties and Obligations
Responsibilities:(List the specific duties and responsibilities of each partner.)
Restrictions: (Include any limitations on the partners’ actions or authority.)
9. Distributions
Distributions of Profits: (Explain the timing and method for distributing profits to the partners.)
Draws: (Outline procedures for partners to withdraw funds from the partnership.)
10. Books and Records
Record-Keeping: (Define the requirements for maintaining business records.)
Access: (Specify how and when partners can access the financial records.)
11. Bank Accounts
Account Management: (Describe the management of the partnership’s bank accounts, including signatory authority.)
12. Transfer of Partnership Interest
Restrictions: (Set conditions under which a partner may transfer their interest in the partnership.)
Right of First Refusal: (Offer existing partners the option to purchase a departing partner’s share before it is sold to an outside party.)
13. Dissolution and Termination
Dissolution: (Outline the conditions and procedures for dissolving the partnership.)
Distribution of Assets: (Describe how remaining assets will be divided upon dissolution.)
14. Dispute Resolution
Methods: (Specify procedures for resolving disputes between partners, such as mediation or arbitration.)
15. Amendments
Modification: (Detail the process for amending the agreement if changes are needed.)
16. Miscellaneous
Governing Law: (State the jurisdiction and laws that will govern the agreement.)
Entire Agreement: (Confirm that the agreement represents the entire understanding between the partners.)
Severability: (Include a clause stating that if any part of the agreement is found to be invalid, the rest of the agreement remains in effect.)
17. Signatures
Partner Signatures: (Provide space for each partner to sign and date the agreement.)
Witness Signatures (if required): (Include space for witness signatures, if necessary.)
Appendices (if any)
Additional Documents: (Attach any supplementary agreements or documents relevant to the partnership.)
