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Unique challenges in partnership firmsAshish Modani, SLA Financial, Jaipur

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Key Take-Aways
  • When a partner exits, their share of the capital has to be given back but it can be difficult if the firm has invested into assets like real estate which cannot be liquidated.

  • Ensure the partnership has liquidity for contingencies such as a partner exiting due to death, health, personal or professional reasons.

  • Have discussions about how a partnership can give some amount like a pension to the spouse/family of a partner that has passed away.

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