Questions about Partnerships

I know alot of people do not like the idea of forming a partnership, but I have a question about it as far as liability goes.


Let's say my partner gets sick and can not pay his bills...

The bill collector or whom ever could go after the business, correct??

What if the business is a LLC?? Would that make any difference??


Thanks!!


RoAcH

Laws may very from state to state so you should seek legal advise.A corporation should give you more protection than a partnership.

Dang.. I wish we could delete our own topics. :(

Anyhoo - I've contacted someone for help on this since after thinking about it, it might not really be a simple answer.


Thanks though!!

Any time you have a business legal question, seeking professional assisastance is the best way. It is an unfortunate thing, but there are leeches everywhere.

Amen to that!!!

I've always been told that partners are only good for two things:

Dancin' and F***in'

"S" corp. a little expensive, but any flavor of incorporation is. it will eliminate any liability (yours or your partner's) should something bad happen. the trick is managing the accounting side so you don't over-tax yourself to death.

at least you can write off a vacation a year for the annual "shareholders" meeting.

I have to agree with Squeegee on this one.

varies from state to state ... check your state. aside from legal adivce, I would also check with a CPA - most of the mess is in how the tax accounting happens.

Hey maybe we (TINTERS) should get into the law business as there doesn't seem to be any letting up on law suites any time soon.

I think squeegee summed it up pretty good

A biz partnership is like a marriage... best make dern sure it's the right one for pluckin' ::: phuckin and dancin'...