Within the framework of the partnership agreement, individuals undertake that each partner will contribute to the activity. Partners may agree to pay capital to the company in cash to cover start-up costs or equipment contributions, and services or ownership may be mortgaged under the Partnership Agreement. As a rule, these contributions determine the percentage of ownership of each partner in the company and, as such, these are important conditions in the partnership contract. Most companies have a flat-rate compensation scheme for restrictive infringements. In other words, the partnership agreement describes how damages are found when a partner leaves and takes customers or employees. This makes sense, because in most cases, if a customer wants to follow a partner, the old company won`t keep that customer anyway. As a general rule, we recommend lump sum damages in the range of 125-150% of the customer`s invoices over a certain period of time. If the percentage is much higher, we are concerned that the judge will not respect the amount. In addition, the partnership contract should hold the former partner liable for unpaid claims of a customer that he or she takes over. Similarly, lump sum damages for debauched workers are generally between 50 and 75% of the annual compensation.
Compensation is not something that we believe should be dealt with in the Partnership Treaty. In some companies, it is indirectly mentioned because remuneration follows ownership of shares. We generally disagree with this approach and believe that compensation should be tied to performance and not to percentage of ownership. In share-based models, where compensation follows part or all of the percentage of ownership and not performance, we see difficulties in encouraging the remuneration of young partners. Partnership Agreement“: this is the founding document that defines in writing the rights and obligations of the partners, supplemented by the NJ Act and the NJ Partnership Act. From a technical point of view, a social contract is not mandatory in writing (unless it is covered by the fraud statute). Company name. If a company integrates, it must register a company name. Similarly, a limited liability company (LLC) registers an LLC name and a limited partnership (LP) registers an LP name. The names of these entities must be approved by the Secretary of State (or any other state office that oversees companies, LLCs, and limited partnerships) before the name is registered.
When a corporation, LLC or limited partnership operates under the registered name, the name of the company, LLC or limited partnership is both the legal name and the trade name. Capital balance: the part of the balance sheet of a partnership that determines the capital of the partners or members. .