Question

What Are the Essential Elements of Partnership?

Answer 1

The following are the essential elements of partnership:

1. Contract of a partnership
2. Between two or more persons
3. Both the parties must have agreed to continue the business (carry on the business)
4. Sharing of profits.
5. There should be mutual agency in the partnership (business must be carried by all of the partners or one who is acting for all the partners).

Also read:

• MCQs on Partnership
• Partnership Deed
• What Is Partnership
• Difference Between Sole Proprietorship and Partnership

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