TYPES OF PARTNERSHIP

  • Ordinary Partnership: The partners have equal responsibility, power, profits and bears all the risks of the business equally.
  • Limited Partnership: Does not take part in the management of the business but enjoys ¬† limited liability advantage.
  • Active Partnership: Takes every active pact in the management and organization¬† of the business.
  • Dormant/Sleeping Partner: Does not take part in the management of the business but contributes capital and takes part in profit sharing.
  • Nominal/Passive Partner: Does not contribute capital and also does not share in the profits of the business rather he gives consent to use or associate his name with the business in order to promote the image and goodwill of the business.

Leave a Comment

not allowed!