If the partnership is formed for an undefined time, it ‘is called partnership at will  Any partner can dissolve ii at any iimeh by giving the notice. According to partnership at I 1932

“If no  provision ii made in the  agreement regarding of the partnership, it is called partnership at Partnership  at   will   may  be  created  under  the following circumstances -tal

If partnership has been formed for an indefinite period, it is called partnership at will If partnership has been formed for a particular venture and after completing such venture it remains continue, it becomes a partnership.


If the partnership is formed for a particular object of temjxwary nature, it is called particular partnership. Or” the completion of a particular venture, it comes to an elid Under this no regular business is done. EXAMPLES

Partnership for the constnjclion of a building

Partnership for producing a film.


Limited partnership is that in which liability some paitners is limited up to the amount of their caprtf In this partnership, there is at least one partnef who unlimited liability

In Pakistan, this Type of partnership is not foi There is a separate partnership act for it. MAIN FEATURES


There is at least one partner who has Ifr ,    liability


There   is   at   least  one   partner who unlimited liability.


There are at least two partners or 20 in ordinary business and not more than l( banking business


New   partners  may  be   admitted in partnership without consent of limited partners ‘”


The   registration   of .this   partnership compulsory by law.

Limited partner can transfer his share to any other person with the consent of another partners.


Limited partner has a right to inspect the books of accounts.


Limited   partner   has   a   right   to   give to others who manage the business.


A limited partner cannot take part in the management of the business.; rfj) WITHDRAWAL Of CAPITAL

A   limited   partner  cannot   withdraw  his capital until he remains in partnership business. (k) SEPARATE LEGISLATION

It is controlled under ihe limited -partnership act 1907 instead of partnership act 1932.

(b)’     The Liability of each partner U limited up to hi capital invested in business.

(c)       Capital invested by each partner is not equal.

(d)      No partner is allowed to lend anything out of tto joint asset.

(e)       The profit or loss is divided among partners 01 Ihe basis of capital invested by them

(0        This type of partnership may be formed betweei or among free and slave persons, Muslims am non-Muslims, men, women and children.

(g)      Each partner is the agent of the other.

(h)       The agreement in this partnership is flexible

(i)        This partnership is practicable in every field ol business.

It is a partnership in which two or more persons d same religion with equal capital are entered into an agreement


(a)       In this partnership, all partners contribute tv-amounts

(b)       The share of each partner in profit or loss Jl equal

(c)       Each partner is an agent and helper of tfF partner.

(d)       There is written agreement between partners fr the equality of profit and loss sharing ratio

(e)       Each partner has an equal status.

(f)        The  terms of partnership agreement are m flexible.


h is an association of two or more different skilled involved  in  the  operation of a  business  like , accountant, and labourers etc.


a)      Skilled   persons  join   together  to   start   this business.

b)      The   profit    is   distributed   among   partners according to the terms of agreement

(c)      There rs no capital in this partnership.

(d)      The capitalists provide rhe capital.

it is a partnership among reputable persons who to buy goods on credit in order to supply them in the



It is & partnership among reputable persons.

The main object of partnership is to buy goods

on credit and to sell them in the market

No partner invests capital i     Each partner is an agent of another. t The profit and loss is shared among the partners

on equal basis


I shall above forms of partnership each partner has a .fe terminate the partnership by giving the notice to

Partnership Is also terminated on the death partner.

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