Operating Agreement Between Partners for the United Kingdom

Operating Agreement Between Partners Template for England and Wales

An Operating Agreement Between Partners is a legally binding document governed by the laws of England and Wales that establishes the framework for managing and operating a partnership business. It outlines the rights, responsibilities, and obligations of all partners, including profit sharing, decision-making processes, capital contributions, and exit procedures. The agreement is structured in accordance with the Partnership Act 1890 and other relevant legislation, providing clarity and legal certainty for all parties involved.

Your data doesn't train Genie's AI

You keep IP ownership of your information

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Download a Standard Template

4.6 / 5
4.8 / 5
Access for free
OR

Alternatively: Run an advanced review of an existing
Operating Agreement Between Partners

Let Genie AI's market-leading legal AI identify missing terms, unusual language, compliance issues and more - in just seconds.
Upload your Doc

What is a Operating Agreement Between Partners?

The Operating Agreement Between Partners is essential for any partnership business operating in England and Wales. It serves as the foundational document that governs the relationship between partners and establishes clear protocols for business operations. This agreement is particularly crucial as it helps prevent future disputes by clearly defining roles, responsibilities, and expectations of all partners. It complies with the Partnership Act 1890 and related legislation, while allowing flexibility to adapt to specific business needs. The document typically includes provisions for profit sharing, management rights, capital contributions, dispute resolution, and exit strategies.

What sections should be included in a Operating Agreement Between Partners?

1. Parties: Identification and details of all partners entering into the agreement

2. Background: Context of the partnership formation and purpose of the agreement

3. Definitions: Key terms and their meanings used throughout the agreement

4. Partnership Business: Nature and scope of business activities, including permitted activities

5. Capital Contributions: Initial and ongoing capital requirements and procedures

6. Profit and Loss Sharing: Distribution of profits and allocation of losses between partners

7. Management Rights: Decision-making processes, voting rights, and management authority

8. Banking and Financial Matters: Financial procedures, accounting periods, and banking arrangements

9. Term and Termination: Duration of partnership and circumstances for termination

10. Exit Provisions: Process for partner withdrawal, retirement, or death

11. General Provisions: Boilerplate clauses including notices, amendments, and governing law

What sections are optional to include in a Operating Agreement Between Partners?

1. Intellectual Property Rights: Provisions for ownership and use of IP created during partnership

2. Non-Compete Provisions: Restrictions on competitive activities during and after partnership

3. International Operations: Provisions for cross-border business activities and compliance

4. Dispute Resolution: Specific procedures for resolving partnership disputes

5. Insurance: Requirements for business insurance and coverage

What schedules should be included in a Operating Agreement Between Partners?

1. Schedule 1: Initial Capital Contributions: Detailed breakdown of each partner's initial capital contributions

2. Schedule 2: Profit Sharing Ratios: Specific percentages and calculation methods for profit distribution

3. Schedule 3: Business Plan: Initial business strategy, projections, and operational plans

4. Schedule 4: Partner Details: Complete contact information and notice details for all partners

5. Schedule 5: Asset Register: List of partnership assets and their agreed values

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

England and Wales

Publisher

Genie AI

Document Type

Operating Agreement

Sector

Sales

Cost

Free to use
Relevant legal definitions
Clauses
Industries

Partnership Act 1890: Primary legislation defining partnerships, basic rights/obligations, governing relationship between partners, and providing default rules if not otherwise specified in agreement

Limited Partnerships Act 1907: Legislation governing the formation and operation of limited partnerships, applicable if partners choose this structure

Companies Act 2006: Relevant legislation when partnership includes corporate partners and for general corporate governance principles

Limited Liability Partnerships Act 2000: Specific legislation governing LLPs if the partnership is structured as a Limited Liability Partnership

Contract Law: Common law principles covering contract formation, consideration requirements, and general terms and conditions

Employment Rights Act 1996: Employment legislation that may be relevant if partners could be considered workers/employees

Equality Act 2010: Legislation covering non-discrimination provisions and equal treatment requirements for partners

Data Protection Act 2018: Legislation governing handling of personal data and privacy considerations, including UK GDPR compliance

Income Tax Act 2007: Tax legislation relevant for partnership income and distributions

Partnership Taxation Rules: Specific tax regulations governing how partnerships are taxed and how partners report income

VAT Regulations: Value Added Tax rules that may apply to partnership operations and transactions

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

Find the exact document you need

Standard LLC Agreement

An England & Wales legal document outlining the operational framework for a limited liability company.

find out more

Small Business Operating Agreement

An England & Wales legal document outlining governance and member roles for multi-owner small businesses.

find out more

Simple Operating Agreement For Two Member LLC

An England & Wales agreement defining rights and obligations for two-member LLCs, ensuring operational flexibility.

find out more

Simple Operating Agreement

An England & Wales legal document outlining business ownership, management, and profit distribution for SMEs.

find out more

Restaurant Operating Agreement

An England & Wales agreement governing restaurant operations, covering standards, compliance, financials, and risk management.

find out more

Real Estate Partnership Operating Agreement

An England & Wales legal document structuring joint real estate investments, defining contributions, profits, and management rights.

find out more

Professional LLC Operating Agreement

An England & Wales LLP agreement detailing governance and compliance for professional services firms.

find out more

Professional Limited Liability Company Operating Agreement

An England & Wales legal document outlining LLP governance for professional service providers.

find out more

Photography LLC Operating Agreement

An England & Wales legal document outlining operational guidelines for a photography business LLC.

find out more

Operating Service Agreement

An England & Wales contract outlining service standards and obligations for long-term operational relationships.

find out more

Operating Agreement Llp

An England & Wales agreement outlining LLP member roles, capital contributions, and dispute resolution procedures.

find out more

Operating Agreement For Trucking Company

An England & Wales legal document outlining roles and compliance for a multi-party trucking business.

find out more

Operating Agreement For Non Profit Corporation

An England & Wales legal document outlining governance and compliance for non-profit organizations.

find out more

Operating Agreement For Incorporation

An England & Wales legal document outlining company management, ownership, and governance under the Companies Act 2006.

find out more

Operating Agreement For Corporation

An England & Wales document outlining corporate governance and shareholder-director relationships for a corporation.

find out more

Operating Agreement Between Partners

An England & Wales legal document outlining partnership roles, responsibilities, and protocols to prevent business disputes.

find out more

Nonprofit LLC Operating Agreement

An England & Wales legal document outlining governance for a nonprofit structured as a Company Limited by Guarantee.

find out more

Non Profit Operating Agreement

An England & Wales legal document outlining governance for non-profit operations under Companies and Charities Acts.

find out more

Multi Member Managed LLC Operating Agreement

An England & Wales agreement outlining governance and member rights for a multi-member limited liability business structure.

find out more

Multi Member LLC Agreement

An England & Wales agreement outlining terms for multi-member business ventures with limited liability protection.

find out more

Members Agreement For LLC

An England & Wales legal document outlining LLC member roles, contributions, and dispute resolution procedures.

find out more

Management Agreement Between Two Companies

An England & Wales agreement outlining management services between two companies, detailing service terms and financial arrangements.

find out more

LLC Profit Interest Agreement

An England & Wales agreement granting profit interests in an LLC to incentivize key individuals or entities.

find out more

LLC Operating Agreement For Shared Vacation Home

An agreement for shared ownership and management of a vacation home in England & Wales.

find out more

LLC Membership Admission Agreement

An England & Wales agreement for admitting new LLC members, detailing rights, obligations, and compliance requirements.

find out more

LLC Member Control Agreement

An England & Wales agreement outlining internal operations and member relationships for limited liability entities.

find out more

LLC Equity Agreement

An England & Wales agreement detailing ownership and governance structures within a limited liability company.

find out more

LLC Bylaws

An England & Wales legal document outlining governance and operational guidelines for a private limited company.

find out more

Limited Liability Agreement

An England & Wales legal document outlining liability protection and operational rules for business owners.

find out more

Limited Company Agreement

An England & Wales legal document outlining company shareholding, management, and compliance with the Companies Act 2006.

find out more

Joint Operation Contract

An England & Wales contract outlining collaboration terms for joint business operations while maintaining separate legal identities.

find out more

Joint Operation Agreement

An England & Wales legal document outlining collaborative operational terms between separate legal entities.

find out more

Joint Operating Agreement

An England & Wales agreement managing multi-party ventures, defining roles, voting, and risk-sharing in capital-intensive sectors.

find out more

Investment Fund Operating Agreement

An England & Wales legal document governing investment fund operations, ensuring compliance and protecting managers' and investors' interests.

find out more

Independent Contractor Operating Agreement

An England & Wales legal document defining terms for engaging external service providers, ensuring compliance with IR35.

find out more

Holding Company Operating Agreement

An England & Wales legal document outlining governance and management of a corporate group's holding company and subsidiaries.

find out more

Hedge Fund LLC Operating Agreement

An England & Wales legal document outlining the operational framework and compliance for a hedge fund's management and investors.

find out more

General Partnership Operating Agreement

An England & Wales legal document outlining partner roles and liabilities in a general business partnership.

find out more

Guaranteed Payments LLC Operating Agreement

An England & Wales agreement establishing fixed payments to LLC members, ensuring consistent compensation and tax efficiency.

find out more

Farm LLC Operating Agreement

An England & Wales document denying customer claims, detailing reasons, policy references, and appeal options.

find out more
See more related templates

Genie’s Security Promise

Genie is the safest place to draft. Here’s how we prioritise your privacy and security.

Your documents are private:

We do not train on your data; Genie’s AI improves independently

All data stored on Genie is private to your organisation

Your documents are protected:

Your documents are protected by ultra-secure 256-bit encryption

We are ISO27001 certified, so your data is secure

Organizational security:

You retain IP ownership of your documents and their information

You have full control over your data and who gets to see it

2 Docs LeftAccess Now