what is partenership profit and how do you get it.is it up to the person who banks to pay it out?
what is partenership profit and how do you obtain it? is it what is left in the business account after paying the accountant and taxman at the end of the tax year?
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Answer 1 :
In a word, "yes" (of course any bills due etc. also need to be accounted for == so you can't just take out half the bank balance each or the business will be bust as soon as the next bill comes in) When you signed the Partnership Agreement it should have been stated how profits would be split and (when paid out) .. It usual for Partners to agree in advance that any profits for the X initial years will be retained to grow the business (and they may agree only to withdraw X% of the profit in future ..)
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