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Scrap Iron Metal Partnership Agreement

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Scrap Iron Metal Partnership Agreement Powered By Docstoc
					This is an agreement that establishes a partnership for a scrap iron metal business.
Partnerships are easy to setup and provide excellent tax benefits, but each partner is
held individually liable for the debts and obligations of the partnership. This agreement
provides the name of each partner and the percentage of ownership they have in the
business. This document contains numerous standard provisions that are commonly
included in these types of agreements, and may be customized to fit the specific needs
of the contracting parties. This agreement can be used by individuals that want to
create a small business partnership for scraping iron metal.
                     Scrap Iron Metal Partnership Agreement
This partnership agreement ("Agreement") is made this ______ day of __________, 2_____
[Instruction: Insert Date] (the “Effective Date), by and between, by and between the following,
who shall be individually and collectively referred to in this Agreement as “Partners.”

NAME                                       ADDRESS

___________ [Instruction: Insert ___________ [Instruction: Insert Address
Name]
___________ [Instruction: Insert ___________ [Instruction: Insert Address
Name]
___________ [Instruction: Insert ___________ [Instruction: Insert Address
Name]

WHEREAS, the Partners have been operating a scrap iron and metal business (the "Prior
Partnership") under an oral partnership agreement (the "Prior Partnership Agreement"), under
which each of the Partners has been sharing in the profits and losses of the Prior Partnership's
business;

WHEREAS, the Partners desire to enter into a written agreement concerning the business of the
Partners, which agreement shall supersede and cancel all prior understandings and agreements,
oral or written, concerning such business, including the Prior Partnership Agreement;

NOW, THEREFORE, in consideration of the mutual promises contained herein, the parties
hereby agree as follows:

1. NAME AND BUSINESS

The Partners hereby associate themselves together as partners and hereby form a partnership
under the name and style of _________ [Instruction: Insert Partnership Name] (the
“Partnership”) for the purpose of carrying on a scrap iron and metal business and shall have the
power to do all acts in furtherance of the Partnership business.

2. TERM

The Partnership shall continue from the Effective Date and shall continue until dissolved by
agreement of the Partners or terminated under the provisions of this Agreement.

3. PLACE OF BUSINESS

The Partnership's principal place of business shall be at __________________ [Instruction:
Insert Address]. The Partnership shall maintain any other place or places of business agreed
upon by the Partners.

4. INITIAL CONTIBUTION

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The Partnership shall establish a checking account at __________________ Bank [Instruction:
Insert Bank Name], _________________ [Instruction: Insert Bank Address] (the Partnership
Checking Account”). The Partnership’s initial capital shall be _________ Dollars ($______)
[Instruction: Insert Amount]. Each Partner shall contribute toward the initial capital by
depositing the following amounts in the Partnership Checking Account, on or before
_________________ [Instruction: Insert Date]:

NAME                                       CONTRIBUTION

___________ [Instruction: Insert $___________ [Instruction: Insert Contribution]
Name]
___________ [Instruction: Insert $___________ [Instruction: Insert Contribution]
Name]
___________ [Instruction: Insert $___________ [Instruction: Insert Contribution]
Name]

5. CAPITAL WITHDRAWALS

No Partner shall withdraw any portion of the Partnership capital without the other Partner's
express written consent.

6. PROFITS AND LOSSES

The Partners shall share Partnership net profits and shall bear Partnership losses as follows:

NAME                                       PERCENTAGE OF PROFITS AND LOSSES

___________ [Instruction: Insert _______% [Instruction: Insert Percentage]
Name]
___________ [Instruction: Insert _______% [Instruction: Insert Percentage]
Name]
___________ [Instruction: Insert _______% [Instruction: Insert Percentage]
Name]

    A. Profits. The Partnership shall provide quarterly accountings of the Partnership affairs
within forty five (45) days following the close of each applicable calendar quarter. At the time
of each accounting, the net profits, as determined by generally accepted accounting principles, shall
be distributed to the Partners in the percentages indicated in this paragraph.

    B. Loses. All rents, cost of repairs and alterations required in the business, and all rates,
taxes, cost of insurance, and other disbursements in respect to the operation of the business, and
the wages or salaries of any or all persons employed in the business, and all other money to be
payable on account of the business, and all losses which shall happen to it shall be paid out of the
capital of the Partnership. If the profits are deficient, thenthe Partners shall share the losses in the
percentages indicated in this paragraph.


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7. BOOKKEEPING

Partnership books of account shall be accurately kept and shall include records of all Partnership
income, expenses, assets, and liabilities. Each Partner shall have the right to inspect the
Partnership books at a
				
DOCUMENT INFO
Description: This is an agreement that establishes a partnership for a scrap iron metal business. Partnerships are easy to setup and provide excellent tax benefits, but each partner is held individually liable for the debts and obligations of the partnership. This agreement provides the name of each partner and the percentage of ownership they have in the business. This document contains numerous standard provisions that are commonly included in these types of agreements, and may be customized to fit the specific needs of the contracting parties. This agreement can be used by individuals that want to create a small business partnership for scraping iron metal.