How can a partnership be formed?

A partnership can be formed through either an express agreement between the parties or through their conduct, which demonstrates the intent to collaborate for a common business purpose. This concept is rooted in the idea that partnerships are based on mutual consent, whether that consent is formally documented or implied by the actions of the involved parties.

In many jurisdictions, a partnership does not require a formal written agreement to be valid; the manifestation of a partnership can arise from informal arrangements, verbal agreements, or even the behavior of the parties as they work together towards shared goals. For example, if two individuals start a business together, share profits, and operate in a manner that indicates a joint endeavor, they can be considered to have formed a partnership, regardless of whether any paperwork exists.

Other options present misunderstandings about the requirements for forming a partnership. A written agreement, while beneficial for clarifying terms and responsibilities, is not a requirement. Public announcements and registrations can serve other purposes, such as providing notice to third parties or establishing a legal entity, but they do not in themselves create a partnership. Thus, the essence of partnership formation lies in the agreement or conduct of the parties involved, making that option the most accurate choice.