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This project is aimed at identifying the problem of partnership business in Nigerian and how to solve some of the problem. This is an attempt to present the frame work which will help various group of persons in partnership business and others desiring to have clear understanding of some of the problem they will face in the business especially those that want to jump into it without understanding the terms of the business neither having any from of agreement. Worthy to mention is the function which constitute a lot of problem , lack of good planning and good management techniques which can work against partnership business. In terms of organization, this work is divided into five chapter which as following;

Chapter one: it gives the introductory analysis including the background of the study and the statement of the problem.

Chapter two: this deals with the subject matter under the review with reference to books of possible author and journals, magazines of different opinion.

Chapter discussed the method of the research, the research embarked upon and the various instrument used to carry out the work.

Chapter four: this form the core of the research, data collected were presented, analyzed and interpreted and the hypothesis tested, summary of the finding conclusion and the recommendation. A list of biography and appendix are presented at the end of this study for further classification and information on the topic matter.


Title page

Approval page




Table of content


1.1      Introduction

1.2      Statement of the problem

1.3      Objective of study

1.4      Significance of study

1.5      Statement of the hypothesis

1.6      Scope of the study

1.7      Scope of the study

1.8      Definitions of terms


2.1      Review of the related literature

2.2      General natures for the partnership business

2.3      Historical view of partnership business

2.4      Definition of partnership

2.5      Type of partnership

2.6      Kinds of partnership

2.7      Special characteristics of partnership business

2.8      Formations and operation of partnership

2.9      Powers and liability of partners

2.10    Advantaged and disadvantage of partnership

2.11    Limitation to the partnership liability

2.12    Dissolution and winding up of partnership

2.13    Conclusion


3.1      Research design and methodology

3.2      Source of data

3.3      Primary

3.4      Secondary data

3.5      Sample used

3.6      Method of investigation


4.1      Data analysis and interpretation

4.2      Data presentation and analysis

4.3      Test of hypothesis



5.1      Summary of the findings

5.2      Conclusion

5.3      Recommendation





                 Long ago, many Nigerian have engaged them in one or tow business entity to promote the economic growth and to earn a living.       Unfortunately it have been observed from the past analysis and experience that most of them are not living up to the expectation. In view of this it is important to carry out a research analysis on problem and prospect of business to know or uncover the reason behind their business. It is a pity that immediately any thing business is mention, the only thing that comes to the mind of a typical Nigerian is buying and selling of goods but business if broader than that. Business means any lawful activity one engages on to satisfy peoples wants and needs to earn a living. For the purpose of this research, I want to narrow out minds to business as any profit directed economy or commercial activities that provides goods and services necessary to a nation standard of living.

Business ownership can be classified into two basically:

(i)            Public enterprise and

(ii)          Private enterprise

The private comprise of sale proprietorship, cooperative society and partnership etc.

                 In this research work, we are going to concentrate mainly on issue that concerns the partnership business.

                 According to Boron Donan (1976) partnership can be defined as a business relationship between two or more persons who jointly own and manage a business. The maximum number is usually 20 persons. The following problem lead to the formation of a sole proprietorship and others

-       Delay in the decision making process

-       Crisis of confidence

-       Chained activity all new members to the old ones etc.


                 A large proportion of the business entities in this country are face with similar problems. This problem hinders partnership business and thereby causing their contribution to the nation economic development limited. Some of this problem is;

  1. Poor source if fund
  2. Poor feasibility study
  3. Absence of rules and regulation
  4. Inability to differentiate between personal and business affair
  5. Negligence on the part of some partners
  6. Wrong decision taking without considering the necessary factor that can affect it
  7. Lack of competitive awareness
  8. Lack for assessment on the strength and weakens of a business


1.poor sources of fund: the major source of fund for the partnership business is from their little savings and gift from friend which is not enough to start a capital outlay of a standard business and hence the business fails within a short period of time.

2. Poor feasibility study: not business that can survive without overcastting and knowing the future of that business that is how it can survived and whether it is gainful

3. Lack of lay down rules: most partnership business do not have a laydown rule as a guide to the business and ownership and most of the time, the terms of agreement which will lead to quarrying and winding up.

4. Inability to differentiate between business and personal affair. This happen personally where the partners take up the business property as their personal property

5. Negligence on the part of some partners: most of their workers because of the numerous engagements easily show a non challant attitude toward define responsibilities.

6. Wrong decision taken: this has made many investors to wind up thanking government decision are trials to every other decision.

7. Lack of competitive awareness: many partners in Nigerian don’t take the reactions of the competitors into consideration, like issue of pries tags special discount etc.

8. Personal strength and weakness in business: many of the business do assess their strength and weakness in business, hence they experience failure.

Summarily, many business do not have adequate training, as a result, the business folds up as a man’s business. Lac of the tehnologioal kow how also causes their failure. They likewise ignore the accounting procedure of handling business, having poor accounting records.

In this study the researcher intends to deal with the following problems:

  1. Common problem facing partnership business in the area of planning, finance and management
  2. The cause of this problem
  3. How to solve the problem
  4. The future prospects of partnership business in Nigeria


In the work the researcher intends to find out or investigate the following things in view of the problem listed above

  1. Whether partnership business carry out feasibility study or not before embarking on any business
  2. Whether most for the partnership business use deeds
  3. Whether they keep proper accounting records
  4. If the partnership business on their own plan their work
  5. Whether there is any effect of poor capital base on the partnership management
  6. Whether the mismanagement of fund affect the management of partnership business.

The researcher in his cause of writing have tried to study and understand the problem and how they have frustrated the effort of some partnership business owners and some suggestions to elicit them and some recommendation and how to handle some of other problem


                 In this work, the researcher intends to go into details and find out the problem facing partnership business in Nigeria. The researcher is interested in identifying the major problem that hinders from a worthy growth in the business. There are chosen areas of focus specified in the objective of the study.

From the various analyses, there is a clear indication that many for the partnership business set up in Nigerian are not living up to expectation. It is hoped that a clear analysis of this problem and prospects of partnership will uncover the causes of poor performance and suggestion that could be relevant help to solve some problem confronting them


Hypothesis is research answers to problem, which are in essence subjected to some test. From this assertion, it is necessary to state out some of the hypothesis

(a)          Using the null hypothesis

Hi: for the negative

Ho: for the positive

Hi: inability of the some partnership business to differentiate their personal affair and business affair is a problem to partnership business in Nigerian.

Ho: inability of the some partnership business to differentiate their personal affair and business affair is not a problem to partnership business in Nigerian.

Hi: Esco & Co has been experiencing problem in quick decision taking

Ho: Esco & Co has not been experiencing problem in quick decision taking

Hi: partnership business is been neglected in today’s business activity

Ho: partnership business is not been neglected in today’s business activities.

Hi: there is a feasibility study before embarking on any partnership business

Ho: there is no feasibility study before embarking on any partnership business.


           The topic of this research is on partnership business. It is assumed that it cannot be applied to the larger firm. It focus is on the problem and identification on why and how the listed factors have hindered the growth of partnership business in Nigeria. The researcher will try to cover all aspect of partnership with middle literature review and the case study, which is the major point of reference.


           The researcher was restricted from the collection of vital information due to the tie factor in combining this academic work with the researchers study. More so poor financial base to get all information needed for the study and lack of more cooperation on the side of my case study.

Limitation of time: the time schedule for the research work was the time the researcher was suppose to be reading and making prep aeration for his examination

Financial constraint: the researcher could not meet up with the financial obligation as a student, because of this; the work is limited to some areas.

Lack of relevant data: due to instability in the Nigerian government, most for the workers were on strike as of the time there office were visited. Base on the inadequate finance, such place were not visited again

Attitude of interviewees: many of them have this problem of non-challant attitude, which made them not to cooperate.


  1. Partnership business: a business carried out by two or ore persons who jointly own it and mange it together.
  2. Significances: important of the work been done at a particular time to the users
  3. Hypothesis: suggestion put forward at a starting point for reasoning or explanation
  4. Constraint: hindrance or limitation to the progress of the work.
  5. Relevant: things related to the issue at hand or important solution to the work at hand.
  6. Interviews: a formally arranged meeting to get the opinion of person, company of group by the person called the interviewer
  7. Feasibility study: study carried out to find out fact about a particular business or project of its profitability. 

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