When you start moving from sole proprietorship to a business model or business partnerships says Michael E Weintraub Esq. While it’s a viable opportunity for combining the expertise of two individuals for business goals, each member must pay attention to their individualities and roles and responsibility. Partnership agreements form the backbone of these enterprises. These agreements come under the guidance of a lawyer who assists the members in deciding their business structure. Partnership agreement attorneys help businesses create a partnership agreement that reflects the relationship. Moreover, it helps them in drafting the legal document in detail.
What is the role of a partnership agreement attorney?
Partnership agreement lawyers guide business partners in making and updating business agreements. These partnership agreements represent the rights and privileges of each party and protect them in case of a dispute, states Michael E Weintraub Esq. Partnership agreement attorneys provide expertise in different areas discussed in detail.
Of all the partnerships, a general partnership is the most common category. Partners in these agreements are jointly and separately responsible for monetary issues and debts. When two individuals join hands to set up their business together, they generally go for this partnership. It is such a simple partnership that there is no requirement for formal paperwork. Any time, the two individuals solicit services or goods for profit sharing and financial matters. They consider each other as partners and work together to realize their long-term goals.
In a limited partnership, legally, there are two categories of partners, which include general and limited partners. General partners take up the responsibility of making management decisions associated with the business. On the other hand, Limited partners are parts of the enterprise. These come with limited control over the regular operation, expresses Michael E Weintraub Esq. The partners are jointly and individually responsible for transactions and debt in a limited partnership. However, in the case of limited partners, only one person is responsible for the liabilities and monetary obligations.
LLP or limited liability partnership
Coming to another category of partnership, known as limited liability partnership. It helps individual partners free themselves from liabilities and debts. When thinking of financial rights, members of limited liability partnerships possess similar rights as those with a general partnership. However, unlike the general partnership, members of LLP have legal liability associated with the conglomerate.
LLLP or limited liability limited partnership.
One of the rare partnership categories is LLLP or limited liability limited partnership. These partnerships feature limited liability for the partners and complete protection against legal liabilities when the partnership gets dragged to court.
Since LLLP is a new term, Michael E Weintraub Esq says various states do not even have statutes for monitoring this area. Irrespective of the nature of the partnership, you require the help of a business lawyer who can guide you through. Remember that these individuals have years of knowledge and expertise in this field that helps them act as your guide. Moreover, they can help you with a viable business model that will guide you in every stage of business development.