Posted on

Indian Partnership Act – Tips

  1. Bare Act: Read the Act carefully to understand its sections and meanings.
  2. Written Partnership Agreement: Written agreement prevents future misunderstandings and disputes between partners. Execute a written partnership agreement outlining the partnership’s terms and conditions.
  3. Complete the Registration Process of the Partnership Firm: Register the partnership firm to avoid future disputes and take advantage of certain legal benefits. 
  4. Clear and Unambiguous Partnership Agreement: The partnership agreement must have unambiguous terms to avoid future disputes.
  5. Maintain Proper Accounts of All Transactions: The Act requires every partnership firm to maintain proper accounts of its transactions.
  6. Dissolve the Partnership Appropriately: The Act provides for the dissolution of the partnership in various situations. Partners must follow the procedures outlined in the partnership agreement or the Act.
  7. Seek legal advice when needed: If there is any doubt, seek a legal expert’s advice.