i. What is a Partnership Deed?
A partnership deed is a legal document that outlines the terms and conditions governing the operations, responsibilities, and obligations within a partnership. It serves as an agreement between the partners, detailing their individual roles, profit-sharing arrangements, and other critical elements that define the partnership’s functioning and purpose. A partnership deed helps prevent disputes and provides a reference point for resolving disagreements.

ii. Four Items a Partnership Deed Must Contain

1. Capital Contributions: The deed should specify the amount of capital each partner contributes to the partnership.
2. Profit and Loss Sharing Ratio: It should state the proportion in which partners share profits and losses.
3. Roles and Responsibilities: The document should outline each partner’s duties, roles, and decision-making authority within the partnership.
4. Dispute Resolution: Procedures for handling disputes among partners, including steps for mediation or arbitration, should be included.