Suppose you decided to quit your job as an insurance broker and open a clothing store. Your business is now growing, and you have decided to add a full line of designers. This means more work and responsibilities. You will need someone to help you, but you are undecided about what to do. Should you hire an employee or find a partner?
If you add a partner, what type of decisions should be made to create a partnership agreement?
In your group, discuss the following questions:
- Name your clothing store, where you will be located, and if it’s a sole proprietorship or partnership
- What are the advantages and disadvantages of adding a partner vs. hiring an employee?
- Assume that you have decided to form a partnership. What articles should be included in a partnership agreement?
- As a group, prepare an article of partnership agreement. Be prepared to discuss the pros and cons of your group’s agreement.
This should be on a chart or PowerPoint for claiquss presentation.