Answer:
The essential terms covered in a standard partnership agreement are;
- Financial Contributions – What will each partner contribute financially?
- Profits and Losses – How will profits and losses be managed?
- Obligations/Rights – What are the rights and responsibilities of the partners that should be drafted into the Agreement?
- Dispute Resolution – Have methods for resolving disputes been considered in the Agreement?
- Term – How long is the Agreement meant to last? Is it for the life of the partnership?
- Exit – How will departure of a partner be managed?
- Other Agreements – Are partners to the Agreement allowed to enter into alternative agreements that will bind the other partners?
