Registration of Partnership
In every state, there is a Registrar of firms, to whom any Partnership firm could get itself registered. In this process, a firm writes down all the details regarding the name, location, number of partners, profit sharing ratio, salaries, commission, interest on capital, interest on drawing, etc. in a register and submits it to the Registrar of firms. Although it is not mandatory to register a firm, but it is advisable to register to enjoy some of the benefits, which a firm will get post-registration. For example – a firm can file a suit against any third party only if the firm would be registered, any partner of the firm could file a suit against any other partner only if the firm is registered, etc.
Steps for registration of a Partnership Firm:
Step 1: Fill up all the required details in a prescribed format in an application form, which must be duly signed by all the partners of the firm. The application should contain the following particulars:
- Name and Location of the main branch of the firm.
- Location of other branches of the firm.
- Name and Address of Partners.
- Date of joining of each partner in the firm.
- Duration of Partnership.
Step 2: An amount needs to be deposited with the Registrar of Firms termed fees.
Step 3: A Certificate of Registration will be issued by the registrar after the approval, and an entry will be made in the register of firms.
Partnership Deed : Aspects and Registration
A group of individuals entering into a formal relationship, having a common goal and willing to invest their capital, time, name, and idea altogether to start a business for profit-making is said to be a partnership.
The definition of Partnership, According to the Indian Partnership Act 1932 is ” The relation between persons who have agreed to share the profit of the business carried on by all or any one of them acting for all.”
When a group of individuals works together, then there could be a possibility of conflict and disputes. To grow a Partnership firm, a good relationship is essential to avoid disputes between the partners “The Indian Partnership Act, 1932” came into force. This act covers all the rules and regulations regarding a partnership firm.
Table of Content
- What is Partnership Deed?
- Aspects of Partnership Deed
- Registration of Partnership
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