Childcare Centre Partnerships:

In circumstances where you choose to jointly own a child care centre you should ensure that a written partnership agreement reflects the position of both parties and the responsibilities and entitlements of each partner. Particularly, clauses relating to the distribution of profits, the division of ownership, daily management of the centre, capital contributions, dispute resolution and the termination of the agreement should be addressed to ensure that there is no ambiguity or uncertainty as to the operation of the partnership.

It is important to note that in most partnerships, a partner may be liable for not only their own acts but also the acts of the partner in certain circumstances (joint and several liability), so it is very important that both partners have a similar vision for the childcare centre, a similar work ethic and complimentary skills and experience that can assist in achieving a successful childcare centre.

If you are considering purchasing or establishing a child care centre under a partnership structure, we recommend that you firstly obtain legal advice on matters such as the benefits and risks of a partnership, including any taxation implications and personal exposure in the event of legal proceedings, any legislative requirements relevant to the operation of your partnership, applying for licences under a partnership arrangement, how best to protect your assets and whether an alternative business structure is more appropriate in your circumstances. At Navado we can provide the aforementioned advice, and can assist in drafting the partnership agreement between you and your business partner.

If you wish to speak with one of our Child Care Law Lawyers, please contact our firm by telephone on (02) 9233 4048 or send an email to info@navado.com.au. 

This webpage (and any material or wording appearing on this webpage) is provided for general information purposes only and does not constitute any Legal Advice. It does not take into account your objectives, your instructions or all of the relevant facts and/or circumstances. Navado accepts no responsibility to any person who relies on the information provided on this website. We further refer you to our Disclaimer.