Partnership with a friend under ROB

The situation

A partnership registered with SSM needs details of all partners. Partners are jointly liable for business debts.

The law

• Sec 5, Registration of Businesses Act 1956: Business must be registered with SSM before or within 30 days of starting
• Limited Liability Partnerships Act 2012: Registration of LLPs and annual declaration of solvency within 90 days after financial year end

What it means for you

Write a partnership agreement for profit sharing, capital and exit. Each partner reports their share of profit in their own Form B. If you want limited liability, consider an LLP instead.

What to do

1. Agree terms in a written partnership agreement.
2. Register the partnership on ezBiz.
3. Open a partnership bank account.
4. Each partner plans their Form B.

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• Who can register a sole proprietorship
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