A Partnership Firm is one of the simplest and most widely used forms of business organization in India. It is governed by the Indian Partnership Act, 1932 , which defines a partnership as “an agreement between persons who have agreed to share profits of a business carried on by all or any of them acting for all.”
A partnership firm is ideal for businesses where two or more individuals wish to come together, combine skills or capital, and operate with shared responsibility and mutual trust.
At JHA Financial Services (JFS) , we provide complete support for Partnership Firm registration, documentation, and compliance , ensuring your business starts on a strong legal foundation.
A partnership firm is formed when two or more persons agree to run a business and share profits in an agreed ratio. The relationship between partners is governed by a Partnership Deed , which outlines the rights, duties, and responsibilities of each partner.
Unlike companies, partnership firms are easy to form, require minimal compliance, and can be started quickly.
You can register a partnership firm by following these steps:
The partnership deed is prepared on stamp paper of appropriate value and includes:
All partners sign the deed to formalize the agreement.
Under Section 58 of the Partnership Act , a firm can be registered at any time by filing required documents with the Registrar of Firms of the respective state.
Once satisfied, the Registrar records the firm and issues a Certificate of Registration .
Any two of the following:
Proper drafting of partnership deed
Complete registration support
Guidance on tax and GST compliance
Affordable and transparent pricing
End-to-end post-registration support
A minimum of two partners is required to start a partnership firm.
GST registration is required if turnover exceeds the prescribed limit or if the business falls under mandatory GST provisions.
Partners have unlimited liability, meaning personal assets can be used to settle business liabilities.
Yes, profit-sharing ratios can be changed by amending the partnership deed.
Yes, a partnership firm can be converted into an LLP or company as the business grows.
If you’re planning to start a partnership business, JHA Financial Services (JFS) will guide you at every step — from documentation to compliance.