Partnerships

Partnerships are businesses owned by two or more people.

Dental surgeries are often partnerships

Doctors, dentists and solicitors are typical examples of professionals who may go into partnership together and can benefit from shared expertise. One advantage of partnership is that there is someone to consult on business decisions.

The main disadvantage of a partnership comes from shared responsibility. Disputes can arise over decisions that have to be made, or about the effort one partner is putting into the firm compared with another. Like a sole trader, partners have unlimited liability [Unlimited liability: Owners are personally liable for all debts. ].