Contact us
0113 207 0000
Contact us |
Sign up to our newsletter |
0113 207 0000 |

Partnership Agreements

Blacks Solicitors’ Corporate team regularly support clients who need help with drafting and reviewing Partnership Agreements.

A Partnership Agreement sets out the terms of the shared ownership of an unincorporated business and provides legal protection for each partner should a dispute arise.

A Partnership Agreement should provide for:

  • How profits and losses are to be shared between the partners
  • The capital contributions required of each partner
  • How profits are to be allocated if a partner is absent due to sickness, parental leave, or during holidays
  • Each partner’s duties and responsibilities towards the business and the other partners
  • Management of the partnership business
  • The continuation of the business if a partner leaves
  • What happens if a partner dies
  • Partner expulsion
  • Partner retirement

Frequently Asked Questions

Why do I need a Partnership Agreement?

If there is no Agreement in place, then partners have simply entered into a ‘partnership at will’ governed by elderly statutory provisions (principally the Partnership Act 1890) which unfortunately rarely suit any business.

The “default” position in the absence of an Agreement is that each partner will have an equal share of the capital and profits, and that any partner can trigger a dissolution of the partnership with immediate effect.

I am in a partnership with family members. Is it still necessary to have an Agreement?

Unfortunately even family members can still have different priorities, agendas, and disagreements. In the event of such a disagreement the potential consequences outlined above under the heading “Why do I need a Partnership Agreement” are just as relevant.

It is always a good idea to have a Partnership Agreement in place even if your fellow partners are family members or friends, as the consequences of not having one can have unintended consequences, and be very costly and damaging to the business in the event of a dispute.


For more information about Partnership Agreements, for a no obligation discussion, please contact our Corporate team today via email or call 0113 207 0000.

Share this

What our clients say

  • The team are extremely professional and approachable and most of all they are always available to communicate and provide realistic proactive advice for the real world – not just that from a text book.

    Share this
  • Nigel Hoyle and Alex Hall showed tremendous levels of commitment to the role, attention to detail and diligence in ensuring the end result was achieved within their clients’ expectations.

    Share this
  • Lewis Goodwin has a breadth of knowledge and the ability to manage complex and diverse issues.

    Share this
  • Dave Paterson has exceptional communication skills and always provides practical, real-world advice alongside the legal position. Very good at empathising with clients and helping get the job done.

    Share this
  • The team really gets to know clients and works hard to understand their business and their transaction. Very personal service. Fantastic for MBOs, trade acquisitions and disposals.

    Share this
  • The team at Blacks Solicitors is both friendly and professional. Its most important characteristic, however, is that it gets results and produces positive outcomes. The team works across disciplines and can therefore provide a holistic service. It is also widely experienced and has a very positive reputation across the city of Leeds.

    Share this
  • Really personable service, no-nonsense talk in simple terms, trusted advisers.

    Share this
  • A friendly and approachable team with good values.

    Share this
  • Blacks Solicitors LLP‘s corporate team is open and approachable at all times, with a practical no-nonsense approach.

    Share this
  • David Paterson gives excellent guidance based on his experience from dealing with similar issues.

    Share this
  • Nigel Hoyle thinks through the ultimate impact and reassures clients with his all-round knowledge.

    Share this
  • Blacks Solicitors LLP‘s corporate practice acts as though every client is the only client it has, making clients feel special and at ease.

    Share this
  • The corporate team at Blacks Solicitors LLP is approachable, forward thinking and able to express itself in language that clients are able to understand.

    Share this
  • Blacks Solicitors LLP is uniformly reliable and cost-aware.

    Share this
  • Blacks Solicitors LLP is very professional and technically very good, yet approachable and friendly.

    Share this
  • Dave many thanks and again we are indebted to you and your team.

    Share this
  • Thank you to you and your team for your help to date, which as always has been very timely and professional. We greatly appreciate the friendly service that you provide at Blacks.

    Share this
  • Just wanted to say a huge thank you for your support over the past months and helping me get some great advice and service. You went the extra mile for me resulting in a contract I was very happy with.

    Share this
  • Dave, we have been impressed and reassured by you and your team. My part in the sale has been minor in the extreme but I know my partner has been helped greatly by your advice, guidance and direction.

    Share this
Read more

Sectors we specialise