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A partnership is an arrangement between two or more people to carry on a business together as co-owners. Partnerships are governed by the Partnership Act 1890, which sets out the general rules about how partnerships are formed and operated.
Partnership law is designed to promote fairness and protect the interests of all partners. It also gives partners a mechanism for resolving disputes between themselves. The key principles of partnership law are: equality of partners, mutuality of obligations, and freedom of contract.
Under UK law, there are two types of partnerships: general partnerships and limited partnerships. General partnerships are the most common type of partnership, and they are governed by the Partnership Act 1890. Limited partnerships are less common, and they are governed by the Limited Partnerships Act 1907.
Both types of partnership have their own advantages and disadvantages.
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