Partnership is a business entity structure that consists of two or more people or entities who start or own a business together and share in its profits.
In certain situations, it might be necessary to dissolve a partnership. For instance:
• The resignation of a partner
• Death of a partner
• Retirement of a partner
• Bankruptcy
• Mutual agreement to end partnership
• Buyout
When considering the dissolution of a partnership, it is important to ensure that it is done correctly. Some of the issues to consider when dissolving a partnership include but is not limited to:
• Notification of appropriate agencies/entities
• Asset and liability allocation
• Buy-outs
• Non-compete, non-disclosure and confidentiality issues
• Capital and equity interests
• Winding up of business
• Intellectual property
• Contractual obligations
Depending on the nature and size of the partnership, dissolution of a partnership could be a very complex undertaking. Without the right legal help, there is the risk of incurring substantial expenses in correcting errors and as well as exposure to legal jeopardy. It is therefore important to partner with competent business attorneys for guidance.
Contact Anunobi Law
If you are considering dissolving your partnership, the Houston TX business attorneys at Anunobi Law PLLC can help. Our business planning attorneys are experienced and skilled in assisting clients through the entire business life cycle from business formation through business dissolution / closure. Contact us to schedule an appointment.