Hello all, I have a question that has been bugging me for the past few days.
I've been told that a partnership interest in a firm (whether it be accounting, legal, medical or other professions) is usually worth some money (and even can be fought over in divorce court). I'm wondering how exactly one attains the interest if they are offered a partnership position after having worked for X number of years in the firm. Do they actually have to shell out cash for it, is the cost a bonus of some sort for them, is the cost deducted from their share of the gross profit or something else?
I've been told that a partnership interest in a firm (whether it be accounting, legal, medical or other professions) is usually worth some money (and even can be fought over in divorce court). I'm wondering how exactly one attains the interest if they are offered a partnership position after having worked for X number of years in the firm. Do they actually have to shell out cash for it, is the cost a bonus of some sort for them, is the cost deducted from their share of the gross profit or something else?