How to register a partnership firm in Gujarat?

Section 4 of the Partnership Act, regulates the registration of a Partnership Firm. The Act states that registration of a Partnership Firm is not mandatory it depends upon the members to register their firm or not. It can be registered under the state’s Registrar of Firms (ROF) which enables the individual who runs the business to follow legal bindings. When a partnership firm is not registered it is not illegal but it would nullify to avail certain benefits by the Partnership Firm.

Partnership Deed

A partnership deed is a document that includes the rights and responsibilities of all the parties involved in a partnership firm or in a business. It regulates the conduct of business. It is also helpful in the disputes between the individual partners of the company and it is also beneficial for all the partners in a partnership firm or a business. Some details are necessary to present in a partnership deed, mentioned below:

Detail of all the partners in a firm

Duration of Partnership

Partnership Firm conducted the nature of the business

Each partner made the capital contribution

Profit and loss percentage shared with all the partners

Date of commencement of the Firm.

According to the Stamp Act, when adding, removing the partner which has to be formed in a stamp paper of a partnership deed. Every partner must possess a copy of this deed.