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This structure is commonly used by professionals such as lawyers and accountants because it provides personal asset protection, ensuring partners can fully engage in the business without assuming responsibility for the debts or legal issues caused by others. Tailoring the agreement to the specific structure will help mitigate risks.
Clients often pay lawyers, accountants, and consultants a retainer fee in order to retain their services. Investment Bankers M&A advisory is replete with examples of retainer fees. Conflict Resolution Mechanisms: Outline ways to handle disputes, whether through mediation, arbitration, or legal proceedings.
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