1. Individuals as Partners

Any individual who is legally competent to contract can become a partner in a firm.

• The person must be at least 18 years of age.
  
• He or she must be of sound mind and capable of understanding responsibilities.
  
• The individual should not be disqualified by any law.
  
• Consent of the individual is essential to form the partnership.
  
• Personal commitment and contribution are expected from each partner.

2. Hindu Undivided Family (HUF)

Members of a Hindu Undivided Family have specific rules when it comes to partnerships.

• The Karta (head of the HUF) can become a partner in a firm.
  
• He can represent the family and its business interests.
  
• Co-parceners cannot become automatic partners without consent.
  
• Income from such a partnership is treated as individual income of the Karta.
  
• The firm must clearly state the status of the Karta and their rights.

3. Companies and Corporations

Legal entities like companies can become partners in a firm.

• A company must be authorized by its internal rules to enter into partnerships.
  
• Board resolution is required to appoint a representative.
  
• The partnership must be consistent with the company’s objectives.
  
• Liability is limited to the extent of the company’s contribution.
  
• The firm must acknowledge the corporate partner and its representative.

4. Minors and Their Role

Minors cannot be full partners but may be admitted for benefits.

• A minor can be admitted to the benefits of a partnership.
  
• They cannot be held liable for losses or management decisions.
  
• The rights and benefits must be agreed upon by all existing partners.
  
• Upon attaining majority, they must decide to continue or withdraw.
  
• This decision must be made within a specified legal time frame.

5. Foreign Nationals and Non-Residents

Foreign nationals can become partners in India under regulated conditions.

• They must comply with the Foreign Exchange Management Act (FEMA).
  
• Prior approval from relevant authorities may be required.
  
• Documentation and regulatory compliance are mandatory.
  
• Their rights and duties are defined by mutual agreement and applicable laws.
  
• Local representation is often necessary for official procedures.