Partnership Agreement Template
A comprehensive business partnership agreement covering contributions, profit sharing, roles, decision-making, dispute resolution, and exit terms. Protect your partnership with clear documentation.
Partners & Contributions
Define who is involved and what each partner brings
This Partnership Agreement is entered into as of [Date] by and between:
Partner A: [Full Name]
• Capital Contribution: [$Amount]
• Skills/Resources: [e.g., Industry expertise, existing client relationships]
• Ownership Percentage: [X]%
Partner B: [Full Name]
• Capital Contribution: [$Amount]
• Skills/Resources: [e.g., Technical skills, operational management]
• Ownership Percentage: [X]%
Business Name: [Partnership/Business Name]
Business Purpose: [Description of business activities]
Profit Sharing & Management
How profits are split and decisions are made
Profit Distribution: Net profits shall be distributed [e.g., 50/50, 60/40, proportional to ownership] on a [monthly/quarterly/annual] basis.
Loss Allocation: Losses shall be shared [in the same ratio as profits / as specified].
Management Roles:
• Partner A: [e.g., Business development, client relations]
• Partner B: [e.g., Operations, finance, hiring]
Decision Authority: Decisions involving [$threshold] or more require unanimous partner consent. Day-to-day decisions within each partner's domain may be made independently.
Exit, Dispute & Dissolution
What happens when things change or disagreements arise
Withdrawal: A partner may withdraw with [e.g., 90 days] written notice. The remaining partner(s) shall have the right to purchase the departing partner's interest at [fair market value / agreed formula].
Dispute Resolution: Disputes shall first be addressed through mediation. If unresolved, disputes shall be settled by binding arbitration in [jurisdiction].
Dissolution: The partnership may be dissolved by mutual written consent of all partners. Upon dissolution, assets shall be liquidated and distributed after satisfying all debts and obligations.
Governing Law: [State/Jurisdiction]
How to Use This Template
Define contributions clearly
Document what each partner contributes: capital, skills, relationships, time. Vague contributions lead to resentment. Be specific about expectations from day one.
Agree on profit splits
Decide how profits and losses are shared. It does not have to be equal. If one partner contributes more capital and another more labor, adjust the split to reflect that balance.
Plan for disagreements
Include a dispute resolution process before any dispute occurs. Mediation first, then arbitration. Define how deadlocked decisions are resolved, especially in 50/50 partnerships.
Have it reviewed by a lawyer
This template is a starting point. Have a business attorney review the final agreement to ensure it complies with local laws and adequately protects all partners.
Customize in Dewx
Inside Dewx, tell Dew: "Draft a partnership agreement between [Partner A] and [Partner B] for [business type] with a [split] profit share." Dew generates a customized agreement, stores it securely in OPS Hub, and tracks key dates like review anniversaries and financial reporting deadlines.
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Frequently Asked Questions
What should a partnership agreement include?
A partnership agreement should cover the partners' names and contributions (capital, skills, time), profit and loss distribution, roles and decision-making authority, management responsibilities, dispute resolution process, withdrawal and buyout procedures, and dissolution terms. The more detailed the agreement upfront, the fewer conflicts later.
Do I need a partnership agreement for a 50/50 partnership?
Absolutely. A 50/50 split sounds simple, but without a written agreement, deadlocks on decisions, unequal work contributions, and exit scenarios can destroy the partnership. The agreement should define how tie-breaking decisions are made, what happens if one partner wants to leave, and how the business is valued.
What is the difference between a general and limited partnership?
In a general partnership, all partners share management responsibilities and unlimited liability. In a limited partnership, general partners manage the business and bear liability, while limited partners contribute capital but have limited liability and no management authority. Your agreement structure should match your partnership type.
How can Dewx help manage business partnerships?
Dewx OPS Hub stores all partnership agreements, tracks financial contributions, and manages shared documentation. Dew can draft customized partnership agreements based on your specific arrangement, and the platform provides shared dashboards so all partners have visibility into business performance.
Partnership Management
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Starting at $29/mo for solopreneurs. $79/mo for teams. All features included.
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Dew drafts customized partnership agreements, tracks financial contributions, and keeps all partners aligned.
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