Partnership is an association of two or more persons who have agreed to share the profits/losses of the business in the ratio as agreed in the partnership deed. Registration of a partnership firm is not mandatory under law. The Partnership Act,1932 provides that if the partners so desire may register the firm with the Registrar of Firms of the state in which the firm’s main office is situated. A partnership firm may be registered at the time of formation or at any time thereafter.

Advantages of a Partnership

  • Least Compliance
  • Easy To Begin
  • Relatively Economical
  • Easy access to credit facilities