Business of Civil Contract and construction working can be done in Partnership so that the business will have more capital and resources to do a more expanded business than sole proprietorship. In a Partnership Deed terms and conditions should be written as agreed by partners. A partnership is a formal arrangement by two or more parties to manage and operate a Profession and share its profits. There are three sectors of construction: buildings, infrastructure and industrial. Building construction is usually further divided into residential and non-residential. The four major types of construction include residential building, institutional and commercial building, specialized industrial construction, infrastructure and heavy construction.
Sample Format of Partnership Deed for Civil and Construction work is given below.
PARTNERSHIP DEED
This deed of partnership is made on this ___ day of ____ 20_
BETWEEN:
1. Mr. _____________________ son of _____________________ aged about _______
Resident of _____________________ _____________________ ___________________
_____________________hereinafter referred to as first part.
2. Mr. _____________________ son of _____________________ aged about
_______ Resident of _____________________ _____________________
___________________ _____________________ hereinafter referred to as second
party.
3. Mr. _____________________ son of _____________________ aged about
_______ Resident of _____________________ _____________________
___________________ _____________________ hereinafter referred to as third party
and
4. Mr. _____________________ son of _____________________ aged about
_______ Resident of _____________________ _____________________
___________________ _____________________ hereinafter referred to as fourth
party.
Whereas, the parties hereto have agreed to commence business in partnership and
it is expedient to have a written instrument of partnership.
NOW THIS PARTNERSHIP WITNESSES AS FOLLOWS:
1) The parties here to have mutually agreed to carry on the business of civil
contract like, construction of building, layout formation, land development and
builders under the name and style of _____________________ (Firm Name)
2) PLACE OF BUSINESS:
The principal place of partnership business situated at _____________________
(Address of Business)
3) DURATION OF PARTNERSHIP:
The duration of the partnership will be at will
4) CAPITAL OF THE FIRM:
Initially the capital of the firm shall be Rs __________________ and contributes
by all the partners as per their profit sharing ratio.
5) PROFIT SHARING RATIO:
The profit or loss of the firm shall be shared equally among all the partners
and transferred to partners current account.
6) MANAGEMENT:
The first party of the firm shall be the Managing partner and he will look after
all the day to day transaction of the firm and any legal activities in the name
of the firm and the remaining partners has to co-operate to do so.
7) OPERATION OF BANK ACCOUNTS:
The firm shall open a current account in the name of _____________________ at
any nationalized banks, scheduled Banks or any co-operative Banks and such
account shall be operated by first and second partners jointly as declared from
time to time to the Banks.
8) BORROWING:
The firm shall require any additional capital/working capital, shall being from
any financial institutions only with written consent of all the partners.
9) ACCOUNTS:
The firm shall regularly maintain in the ordinary course of business, true and
correct account of all its in comings and out goings and also of all its assets
and liabilities, the proper books of account, which shall ordinarily kept at the
firms place of business. The accounting year shall be the financial year from
1st April onwards and the balance sheet shall be properly audited and the same
shall be signed by all the partners. Every partner shall have access to the
books and the right to verify their corrections.
10) RETIREMENT:
If any partner shall at anytime during the subsistence of the partnership, be
desirous of retiring from the firm, it shall be competent from his to do so,
provided he shall give at least one calendar month notice of his intention of
gadding so: The continuing partner shall pay to the retiring partner or his
legal representatives of the deceased partner, the purchase money of his share
in the assets of the firm.
11) DEATH OF PARTNER:
In the event of death of any partner/s, one of the legal represents of the
deceased partner shall become the partner of the firm and in the event the legal
representative show their denial to point he firm, they shall be paid the part
of the purchase amount calculated as on the date of the death of the partner.
12) Whenever there by any difference of opinion or any dispute between the
partners the partners shall refer the same to an arbitration of one person. The
decision of the arbitrator so nominated shall be final and binding on all
partners, such arbitration proceedings shall be governed by Indian arbitration
Act, which is in force.
In witness whereof, this deed of partnership is singed sealed and delivered
this the day of _____________________ at _____________________.
WITNESSES:
FIRST PARTY
1.
SECOND PARTY
2.
THIRD PARTY
FOURTH PARTY
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