Explain the characteristic of partnership firm
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Characteristics of Partnership firms are as follows.
1. More then one Patner= Every Partnership firm must have more then 1 partner but not more then 50.
2. Unlimited liability= In every partnership firm, at least one partner should have unlimited liability in which his personal property isliable to pay all the liability.
3. Profit Motive and profit sharing= Every partnership firm's aim is to earn profit and divide the profit among all the partners.
4. Good faith= Since Partnership firm has more then 1 person , so they must have trust on each other, otherwise the partnership firm will destriy soon.
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1. More then one Patner= Every Partnership firm must have more then 1 partner but not more then 50.
2. Unlimited liability= In every partnership firm, at least one partner should have unlimited liability in which his personal property isliable to pay all the liability.
3. Profit Motive and profit sharing= Every partnership firm's aim is to earn profit and divide the profit among all the partners.
4. Good faith= Since Partnership firm has more then 1 person , so they must have trust on each other, otherwise the partnership firm will destriy soon.
Thanks
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