When a partnership begins, the parties often plan to work together indefinitely. However, as time passes and circumstances change, one or both may need to end their arrangement. Generally, those involved in a Florida partnership would prefer to end their relationship on amicable terms. The good news is that there are ways of peacefully ending a Florida partnership.
Why the Florida Partnership is Ending
The first aspect to consider is why your Florida partnership is ending. When partnerships end because the business has reached its logical conclusion, it’s generally easier for those involved to walk away. However, sometimes, the circumstances are more contentious and may involve the partners having a falling out with one another. These conditions can make it more challenging to peacefully end a Florida partnership. However, it may still be possible to end the business peacefully. If you are contemplating the end of a Florida business partnership, you should consult with an experienced Florida business attorney. Your Florida business lawyer can help you evaluate your situation and identify less contentious ways to dissolve your partnership.
Your Partnership Agreement
The next issue to consider is whether you have a Florida partnership agreement. When partners have a well-drafted partnership agreement, they can rely upon the agreement’s terms to manage issues and resolve disputes. This type of partnership agreement typically includes provisions that set out the conditions under which the partnership will end. Further, this instrument will define each party’s obligations and responsibilities. If you don’t have a Florida partnership agreement, there can be less certainty during the relationship and when it’s time for it to end.
The best way to help ensure your partnership is clearly defined and gets off to a good start is by having a Florida partnership agreement. By working with an experienced Florida business attorney, you can help ensure that your partnership agreement includes the right language to protect your interests while serving your business needs.
Ending Your Company
When a partnership ends, this may mean that the business will no longer exist. A well-constructed Florida partnership agreement will include terms that delineate what the parties are required to do to achieve dissolution. Typically, partners will be responsible for addressing any outstanding debts and paying the entity’s taxes. In addition, partners may have specific responsibilities related to notifying their clientele, collecting accounts payable, liquidating assets, and removing property. If this business is still ongoing, the agreement may also provide for the remaining partners may continue operating the enterprise.
Clear Communication
When someone leaves a business partnership, there is always the potential for ill will to be created between the parties. One way to help prevent this result is communication. When partners are respectful and can clearly communicate, it can help them find ways to dissolve their partnership peacefully.
While there may be some hard feelings that come with the situation, partners don’t always have to end up at odds with one another. By working with an experienced Florida business attorney, you can identify and develop ways of peacefully ending a Florida partnership. Your business lawyer can help you evaluate the business, your partnership, and ways to clearly and effectively communicate with your partner about changes to your business relationship.
Contact an Experienced Florida Business Lawyer
Attorney Richard Sierra at the Florida Small Business Legal Center assists clients like you with commercial leasing, business, and litigation matters. As always, Our Goal Is to Help You Succeed™. For an appointment, you may call us at 1-866-842-5202 or use the contact form on our website. We represent clients throughout the State of Florida, including Coral Springs, Coconut Creek, Boca Raton, Delray Beach, Pompano Beach, Sunrise, Fort Lauderdale, Miami, West Palm Beach, Jupiter, Deerfield Beach, Stuart, Port St. Lucie, Orlando, Naples, Fort Myers, Sarasota, Tampa, and surrounding communities.