A general partnership occurs when two owners have responsibility in the running of the business. They also share responsibility for any expenses, lawsuits, or other legal matter that may arise. Profits and loses should be clearly spelled out in a signed document, before starting the business. For example, if you put in 60% of the startup costs, you should be able to keep 60% of any profits. By the same token, you will be responsible for 60% of the losses. In addition, it will need to be spelled out what will happen to the business if one partner wants out or decides to file for bankruptcy. In addition, individual duties should be spelled out in a legal document, like who will be responsible for dealing with the books and who will be in direct contact with the customers and employees.