Provisions of the Partnership Act

In the event of absence of a partnership agreement/deed or in the event of ambiguity therein, the provisions to the partnership Act will apply.  The provisions state that, unless the partnership deed indicates otherwise,

• Every partner has a right to take part in the conduct of business;
• All profits/losses are to be shared equally;
• No interest on capital is to be allowed;
• No partner is entitled to a salary;
• No interest on drawings is to be charged;
• 6% per annum is to be allowed on amounts contributed by each partner exceeding the agreed capital amounts;
• Normal business decisions can be taken by a majority vote;
• Major business decisions e.g. major business changes must obtain the full consent of all partners