“Partnership is an association of two or more persons working together or any one of them acting for all”. They operate business in accordance to the partnership deed. Partners share the relationship of principal and agency among them, the acting partners works as an agent for their principle. Partnership registration is relatively easy and prevalent. Registration of partnership is not compulsory. However, to sue a partner by another partner or any other third party the firm should be registered but on the other hand third party can sue the firm. It is suggested to make a deed and register before starting a business in partnership.

The following should be contained in a deed:

1. Names of all partners
2. Addresses of all partners
3. Firm’s name
4. The date of commencement of operation of the firm
5. Capital invested by each partner
6. The type of partnership
7. Profit sharing ratio
8. Rules regarding admission, retirement, death and dissolution of partner.