What to Include in a Business Partnership Agreement PDF.

Are you ready to go into a business partnership with one or more partners? While Australian business partnership contracts can be verbal, it’s nevertheless important to have a business partnership agreement in writing. Why? Having a written business partnership contract helps to establish how you will work together, protect the interests of every party, and comply with state, territory, and Australian laws.

Because they are legal documents, written business partnership agreements should also be created, saved and signed in a secure format — and that is where using the power of Adobe Acrobat to create PDF files comes in.

What you’ll learn

• Types of business partnerships in Australia
• Key elements of a business partnership agreement
• Creating a partnership agreement PDF

Types of business partnerships in Australia.

Any prospective business partners should carefully consider their business structure before entering into any type of business agreement. All parties involved need to understand and agree upon the chosen business partnership structure and their roles, responsibilities, tax obligations, and the distribution of profits and liabilities.

In Australia, a business partnership is a legal structure in which two or more individuals or entities come together to operate a business as co-owners. The three main types of business partnerships in Australia are —

• General Partnerships (GP).
  In a General Partnership, each partner has equal responsibility for managing the business and is liable for the debts and obligations of the partnership.

• Limited Partnerships (LP).
  A Limited Partnership combines two types of partners. Limited partnerships may be one or more general partners, who engage in the day-to-day running and management of the business, and one or more limited partners who may contribute capital and input to major decisions but are not involved in general management. Both types of partners have different liability for debts and obligations depending on their financial contribution to the business.

• Incorporated Limited Partnerships (ILP)
  An Incorporated Limited Partnership combines elements of both a limited partnership and the structure of a limited liability company. At least one partner must have unlimited liability for the debts and obligations of the business, while others may have limited liability.

You’ll find more detailed information on Australian business structures and types, along with links to relevant information on applicable federal, state and territorial laws, on the Australian Government Business website. Also think about consulting both legal and financial professionals to ensure that a particular type of partnership is the right choice for you, your specific business goals, and circumstances.

Key elements of a business partnership agreement.

The specific details you include in a business partnership will vary depending on the nature of the business and the partners involved. Add as much information as you see fit to ensure the partnership gets off to a good start and everyone is on the same page.

Seek advice from a legal professional, if needed, to ensure you include what you need for your business agreement and get the wording right. Some key elements of a business partnership agreement include —

• Business partnership name.
  Include the legal name you have established and registered for your partnership.

• Business partnership purpose and objectives.
  Write a clear concise statement of the partnership's purpose and objectives.

• Names and addresses of all partners.
  Detail the full names, addresses, and contact information for all partners.

• Partner roles and responsibilities.
  Specify the roles and responsibilities of each partner.

• Contributions to the business partnership.
  State the capital contributions each partner has put into the business partnership and provide an outline of how additional or future capital contributions will be made if needed.

• Allocation of profits and losses from the business partnership.
  Explain how any profits or losses will be distributed among the business partners, including frequency and methods of distribution.

• Partnership management and decision-making processes.
  Describe a process for how you will undertake decision-making within the partnership, including whether decisions will require unanimous consent among partners.

• Partnership authorities and duties.
  Define the authority of each partner and outline their duties and responsibilities.

• Salaries and/or drawings of partners.
  Specify whether partners will be entitled to a regular salary or periodic drawings from the business partnership, and how payments will be calculated.

• Dispute resolution for partners.
  Establish a mechanism or process for resolving disputes among partners, should any issues arise.

• Business partnership non-compete and non-disclosure clauses.
  Address any restrictions on partners engaging in competing businesses and include confidentiality clauses to protect sensitive business information.

• Business partnership taxes and reporting obligations.
  Clarify the taxation requirements for the partnership’s income and expenses. Describe all financial reporting and record-keeping requirements.

• Business insurance.
  Detail the types of insurance coverage required by the partnership, such as liability insurance.

• Term and termination of partnership agreement.
  Define the partnership's initial term and any conditions for renewal.
  • Include a process for dissolving the partnership, including any notice period.
  • Include provisions for selling or transferring one partner's interest in the partnership should a partner wish to leave the partnership.
  • Include an exit strategy and options for potentially selling the business partnership or winding it down in the future.
  • Specify a method of valuing the business for any transfer or sale of the partnership.

• Business partnership agreement amendments.
  Explain how changes or amendments to the partnership agreement will be made, including adding any possible new partners in the future.

• Relevant legislation.
  Specify any laws and regulations that the business partnership is subject to.

• Business partnership signatures.
  Have all partners sign the agreement and keep copies for each partner.

Create a fillable partnership agreement PDF.

Create a partnership agreement PDF that is secure, easy to complete, share, navigate, and sign. Adobe Acrobat PDFs are designed to do this. There’s a lot you can do. Make your PDF partnership agreement a fillable form that you can review, edit, share, and sign.

Whether you use an Adobe Acrobat app or Adobe Acrobat Online, just some of the tools and features available include being able to —

• Convert Word to PDF and retain your formatting
• Edit a PDF and add comments, annotations, and form fields
• Password protect a PDF to prevent unauthorized changes and access
• Fill and sign a PDF when you’re ready to sign on the dotted line
• Create a partnership agreement template to use for subsequent reviews
• And more.

If you’re sharing your partnership agreement with legal or financial professionals or others to review, it’s simple for anyone to read your PDF agreement with the free Adobe Acrobat Reader.

Related content.

A few other articles to help you with creating a business agreement PDF include —

• How to add a signature to a PDF.
• Document Reviews and Collaborations — Make It Efficient and Effective with PDFs.
• PDF Security: Protect Your Sensitive Content and Information.