Quizzes & Puzzles22 mins ago
how to disolve a partnership
one year ago i left my wife we were partners in a business, she has overspent on the business, and i have had no or small amount of money from the partnership please advise
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Unlike a limited liability company or a limited liability partnership, a straightforward partnership has no legal entity status that is separate from the individuals themselves. This means that you are both jointly and severally liable for any debts of the business. See this link.
http://www.businesslink.gov.uk/bdotg/action/de tail?type=RESOURCES&itemId=1073789609
This link is primarily aimed at advice for setting up a partnership and I do understand that is not your issue. If you set up any form of agreement between you at the start, pull it out and see what it says - but I imagine you didn't - many partnerships start on the principle that things won't go wrong. You probably need to stop any more (customers / sales) revenues coming into the partnership business and close the accounts. I would set out a statement showing the amount of money your (former) partner has taken out in excess of what she was entitled to - assuming this was a 50/50 split. If you are trying to maintain the goodwill associated with a business name, I would contact the key customers and inform them that the business is still runing but you are running it alone. You would revert back to sole trader status.
http://www.businesslink.gov.uk/bdotg/action/de tail?type=RESOURCES&itemId=1073789609
This link is primarily aimed at advice for setting up a partnership and I do understand that is not your issue. If you set up any form of agreement between you at the start, pull it out and see what it says - but I imagine you didn't - many partnerships start on the principle that things won't go wrong. You probably need to stop any more (customers / sales) revenues coming into the partnership business and close the accounts. I would set out a statement showing the amount of money your (former) partner has taken out in excess of what she was entitled to - assuming this was a 50/50 split. If you are trying to maintain the goodwill associated with a business name, I would contact the key customers and inform them that the business is still runing but you are running it alone. You would revert back to sole trader status.
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