Partnership

How it is used

Law and accounting firms are often partnerships, and their senior professionals are 'partners'. Forms include the general partnership, the limited partnership (LP) and the limited liability partnership (LLP). Partners usually sign a partnership agreement.

Example sentences

1. The three architects run the firm as a partnership.

2. Under the partnership agreement, profits are shared equally.

Common collocations

• general partnership
• limited partnership
• partnership agreement
• enter into a partnership

Related terms

• companyA business organisation registered as a separate legal person, so it can own property, sign contracts and sue or be sued in its own name.
• joint ventureA business arrangement in which two or more independent parties combine resources for a specific project or business while remaining separate companies.
• limited liability companyA company whose owners are responsible for its debts only up to the amount they have invested, so their personal assets are protected.
• liabilityLegal responsibility for something, especially the duty to pay compensation for loss or harm; in accounting, also a debt that a business owes.

More terms: Companies & Partnerships

• shareholder
• director
• subsidiary
• board of directors
• articles of association
• fiduciary duty
• incorporate