Jenny and Rose are hairstylists that have decided to open their own salon by starting a general partnership. The first step to ensuring a successful partnership would be to ________.

Question

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The first step to ensuring a successful partnership is to draw up a partnership agreement which outlines the roles and responsibilities, profit and loss sharing, decision-making process, and other important aspects of the partnership. This agreement will help to prevent misunderstandings and conflicts in the future. Insuring clients and submitting limited liability forms may be necessary steps, but they are not the first priority in establishing a partnership. Submitting the partnership formation fee to the state is also important, but it is a procedural step that can be taken after the partnership agreement is finalized.

Jenny and Rose Are Hairstylists That Have Decided to Open