An excellent explanation of Allocation for Profits and Losses:
After a company is in the start up phase starts making or loosing profits from unanticipated glitches, inactive market, paperwork, etc. things can get complicated. A document should be in place stating proper distribution of these funds, or else disputes may happnet. You should never wait until the something happens, you should plan ahead just in case you the start up costs are more than you planned.
As a San Diego business litigation team (click here), we know all about this.
Click the link for more information – http://wblawgroup.com/business-partnerships-why-having-a-business-attorney-draw-up-a-partnership-agreement-is-so-important/: