Guide To Partnerships In Bermuda

PREFACE

This Guide to Partnerships in Bermuda is concerned exclusively with exempted partnerships and overseas partnerships and does not concern local partnerships i.e. partnerships established by Bermudians for the purpose of carrying on business and trading within Bermuda. The intention is to provide an outline of Bermuda's legal and regulatory environment in relation to exempted partnerships (both limited and general) and overseas partnerships, and the formation and/or registration procedures for such entities.

1. INTRODUCTION

1.1 Definition and Classification

Under Bermuda law, a partnership is the relationship between persons carrying on a business in common with a view to profit. Two types of partnerships may be created: general partnerships and limited partnerships. A partnership carries on business subject to the provisions of its partnership agreement and to the applicable partnership statutes of Bermuda.