Partnerships are the most straightforward way of doing business. If you are working with someone else with the intention of making a profit, you are in a partnership. This could be a friend, family member, partner or spouse or someone that you just want to do business with.
Partnerships can range from very small, informal businesses to large joint ventures, where multi-national businesses go into business together. Everyone brings something to the partnership, whether it is intellectual property, supply chains, expertise, time or money.
As a partnership arises without any formality, this can cause problems when the partners don’t see eye to eye, especially later down the line or when the going gets tough (or when it comes to dividing up the money!). Our page on Partnership Agreements can help you identify some of the issues that come up.
Additionally, when partners enter or exit from a partnership, they often do so with very little formality, which can cause problems when it comes to dealing with their tax position. We often are asked to formalise exit arrangements several years after a partner has actually left the business. If a dispute arises between partners (whether this is as a result of falling out, family dispute or relationship breakdown), we can work with our colleagues in our Dispute Resolution team to find the best solution for all parties.
We can help with large scale joint venture arrangements, including securing intellectual property in any joint venture vehicle and providing ongoing support for the vehicle as it moves forward, including building in appropriate dispute resolution mechanisms to allow the parties to maintain a working relationship despite any disputes.
For more information on how we can support you with your partnership issues, please contact one of our corporate & commercial specialists in our offices below.