It requires filing a separate partnership tax return, does not carry liability protection for general partners, and can lead into legal and personal disputes. A corporate form of ownership is generally recognized as preferable over partnership, because it can serve the same purpose while offering a cleaner and better protected structure for the owners. Two heads are better than one. It's easy to get started. More investment capital is available.
Partners pay only personal income tax.
High-caliber employees can be made partners. Partners have unlimited liability. Partners must share all profits. The partners may disagree. The life of the business is limited.