General Partnership

The General Partnership is the most like a sole proprietorship. All partners are liable for the debts and obligations of the partnership, and are taxed on the individual level. Losses are therefore deductible. All partners may share in the management and control of the partnership. The general partnership entity is less formal than incorporation and may be formed with or without a partnership agreement. A general partner generally requires the consent of all partners to sell his or her interest in the partnership.