The owner and the business are treated as separate legal entities. In a sole proprietorship the business earnings are taxed directly to the business. In a sole proprietorship the owner and the business are treated as one accounting entity. The owner receives all the business earnings. The most that any member can lose is their investment in the partnership.
Members enjoy the protection of limited liability.
All members have mutual agency. Members are allowed to share control of business operations. All of the above are false. A partnership is relatively simple and inexpensive to set up. A partnership agreement describing the responsibilities of each partner is required by the State.